Yeah, look at 2007-2009, 2000-2003 or even '73-74....none had a straight drops of 40-50%. They all had corrections followed by rallies. The S&P reached a new high in 2007 after a big drop. It came within 1% of a new high in 2000 after the initial plunge. Unless some huge event happens that we've never seen before, it's extremely unlikely. That's not how big, liquid markets work.
Cheap money has been meddling in market for over a decade. Show me a time in history money was this cheap and then got taken away
I'm no fan of ZIRP or QE, but "this time it's different" is the worst belief you can have...whether from a bullish or bearish perspective.
The big pic isnt about cheap money taken away. It is about who is going to be the buyer. Why do you think IR are now on masters minds?
I caught the drop in the dow...made back my losses for the day ...most pleased. Nikkei trade showing a bit of profit...will see if Japan carries it up if cash market opens tonight.