Systematic and momentum strategies. Quant funds, CTAs, and risk-parity models chase price trends and amplify moves. Their buying and selling is dictated by signals and volatility targets rather than outlook or valuation. They make the rallies crazier and the sell-offs nastier.Liquidity and central banks. The expansion or contraction of the Federal Reserve’s balance sheet, along with global liquidity shifts, has a direct impact on asset prices. The rally in 2020 and 2021 was less about economic foresight and ...