Considering high valuations (Shiller PE, Price to Sales Ratio) and continuing schedule tapering of QE potentially leading to downside breakdown in Indexes. 10% correction in S&P 500 within next few months? :eek:
that's why. Every trader I know has cut back or wants to be short. Long funds are hedging. Every trader on CNBC is looking for a dip to buy. When was the last time everyone was right? The market needs to take out the shorts, make the longs feel like they are missing out, then we can dip. I think we rally into summer and have an upside chase for performance. I guess we will see what happens. I've been wrong B4. I'm long...staying long until I see an upside blow off.
That is possible and would be good for trading. I would not place that bet either. I like to stick to higher probability trades and stay away from gambling on events that are not common. In general, if stocks go up, option premiums go down. 1245
Karen the Supertrader told me never to bet against this market. She also said she'll be a billionaire soon.