jadziasman

Bear Market Over? Not So Fast

I decided to sell all my stock in my 401K today after a slight gain from the Nov 08 low. It's not much, but I work in the auto industry in metro Detroit and I cannot risk losing any money I might need soon. Can't get any equity out of my home - never did so or wanted to before and sure can't now. The Detroit area Case-Shiller real estate price index just hit 77.8 - January 2000 = 100. Prices are back to what they were when Slick Willy was finishing up his first term.

I agree with the prediction of 450-550 S&P. There's just too much uncertainty with commercial real estate, Alt A and option ARMs, consumer and government debt and the "managed" bankruptcies of GM and Chrysler. It won't take much bad news to make the market plummet again.

Once the S&P does hit 500, I'll get the chance to ride the next bear rally. When will the S&P hit its next new high? Oh, 2015 or thereabouts.