Ronnie Moas: It's Human Nature To Be Nervous Right Now

• This past week, Ronnie Moas, Founder and CEO of Standpoint Research, and one of the Top 25 Analysts On Wall Street, was a guest on #PreMarket Prep.
• The expert went over several issues in the show, including the presidential race, the general market and several individual stocks.

When asked about his general market outlook, the expert stated, “I think it’s human nature to be a little bit nervous right now. In the last 25 years the Dow Jones went from 1,700 to 17,000; last time I checked the S&P 500, only 15 percent of the names were trading at less than 13 times earnings, and a lot of those names are value traps and they are trading down there for a reason.”

Moas said he was very concerned with the current state of the market “as far as the risk/reward goes in the near term.”

“I don’t think anyone can forecast where the market is going in the near term, so I’m more focused on S&P 3000.

"I think we’ll get there in the next five to seven years, but there is a very good chance we see 1,600 or 1,700 before that, so people should have some hedges in place in their portfolios,” he added. Moas assured he believed there would be an opportunity to “unwind those and buy back names that they dropped at a lower price six months or a year down the line.”

Moas finally shared some last words of advice for investors: “We’ve got a nice bounce off of the low in the summer, and I think people should lock some of those gains in, and hedge their portfolios.”

The expert assured he would keep portfolio betas somewhere close to 0.7 or 0.8 right now.