Will stocks ever go down again?

Bernard Baruch was the very person who got out of the stock market mid way through 1929.. when it was still going up.

 

You seem to have totally missed the fact that the market has gone up practically <b>every goddam day</b> since last November. This is an easy money market. You just buy, or buy more.

Warren Buffet switches to cash (and gets laughed at) when most people decide they want to make the easy money. It's worked quite well for him.

 

housing sector could be in trouble. even the FED can't control this interest rate. housing sector would show the ugly head first among the sectors.

if long term bond yield hit 4.65% hmmmm

 

You won't get it till you lose a good chunk of your money

How can you be bullish into parabolic move? It's Nasdaq 1999 type of move or silver last year.
I don't like to be fully invested and wake up one morning and see -7%. and then another morning again
I chose to stay aside and see how it unfolds . It won't be long. Japan already showed a preview last month

 

Yes, they will go down again.

 

I think the main question is "Can stocks go down despite massive QE?" (i.e. will the correlation between rising stock market and rising Fed balance sheet continue indefinitely?)

Without QE causing the type of inflation that would inflate earnings correspondingly, my opinion is that there is an upper limit where stretched valuations would cause a breakdown in correlation between rising stock market and rising Fed balance sheet.

 

I guess everyone who is long now doesn't get it lol... be my guest and short at will if you want.

Do you really think if the market were to start rolling over i would just sit there and let my huge long winners turn into losers or not peel out my positions in small increments as the market goes up?!?

Everybody and their brother knows the market is manipulated this can't last forever and the bubble will pop eventually... you can either sit there watch, try to short into this, or come along for the ride.

 

Let's re-phrase this, imagining it's early 2000:

I think the main question is "Can stocks go down despite the internet" (i.e. will the correlation between rising stock market and the new economic paradigm continue indefinitely?)

 

Touche.
History rhymes.

 

Do you think think it's time to buy long? If it is, that puts my mind at easy. I have a few open long positions that I don't want to pull out of. I don't really follow Bernanke, what's he saying?