Once another important report on business profits has been published, especially the Apple results report that will be published after the close of the negotiations on Tuesday, investors will have to face the Fed completely.
The Fed also has to face turbulent financial markets, as investors are increasingly uncomfortable with the text that Fed president Bauer used. On Wednesday, the investor's approach will be made at Paul's press conference after the meeting after the Fed policy meeting.
Matt Casey, an analyst at Miller Tabak, warned that if the Fed's position would change, it could thwart its stock market profits. Hi-tech stocks have become another flaw.
Mali said the Fed will evaluate some encouraging data, such as the first quarter's growth rate and the stock market rally caused by the reversal of the central bank's policy at the end of last year.
"Since the stock market has recovered, it is possible that the central bank is not very biased toward the pigeons," he said. "This does not mean that the stock market returns as strong as in the fourth quarter, but the market is, in fact, technically oversized."
He said that investors should look at the Chinese stock market. The People's Bank of China said it would not relax further its policy and, as a result, the Chinese stock market fell by 5% in the last days of trading. Since the beginning of the year, the Shanghai Composite Index has risen by 23%, and continues to be the world's most performing stock market in 2019, but some analysts said the highlight of Shanghai's stock market has passed .
The US stock market has drastically increased recently, and Mali said it does not believe that off-market investors would be reaching the market, causing the stock market to rise unexpectedly and endanger it. But he is still nervous about the strong increase of Wall Street this year.
He is also more concerned about the strong performance of technology actions. Especially for semiconductor stocks, even if the news is not good, the stock price continues to increase. After Intel issued a profit statement, Samsung announced Tuesday that the result of the first quarter fell by 57%.
Mali said: "It's a bit weird. Normally, it's good that the actions react to the bad news. But there are many companies that have negative talks about the coming quarters, which makes people watchful."
He advised investors to earn profits on some of the actions that have recently increased and that add defensive actions to coverage. He also noted that the participation of some of the money in cash can also prevent the reversal of the stock market.
"The stock market can return to the market, as it did at the end of December last year, but it also provided opportunities," he said, adding that the stock market could have more possibilities of # 39 ; enter the market if it is from 5% to 7%.