convinced I am that a nasty drop is on the horizon. The lofty evaluation has made the market priced for perfection. Will the companies actually deliver? The nasty inflation in China and Europe is much visible now. Market wont have to wait for the US inflation which probably would never materialize soon.
Stocks are seeing some of their loftiest gains deflate, and that could continue as investors weigh dozens of major earnings reports and a fresh series of economic news in the coming week.
Nearly a quarter of the S&P 500 and about half of the 30 Dow stocks report earnings, including American Express, McDonald's, Johnson and Johnson, Caterpillar and Boeing. The Fed meets Tuesday and Wednesday, and there will be reports on housing, durable goods and fourth quarter GDP. O8 gives his State of the Union address Tuesday.
10#AGA7d
""Overextended" is the reason to short, not quite the others. If the Fed continues QE, there will be new high. It is not because of the fantastic economy, but because there are not many places for the money to go."
??? Is this one?