DVW

Why the Bulls Are Skating on Thin Ice

Don't forget that in the tech boom years, stocks of worthless companies flew thru the roof. Why not now? To expect the market to be rational and properly valued is, in my opinion, an error. The market does what it does, prices are bid up or down beyond the real valuations all the time. Afterall, that's how you make money trading.

If the logic bothers you, then stay out. If you have a strong stomach buy the rally and keep your finger on the trigger, or wait for a true shortable moment validated by price, not assumptions. Shorting this market on the way up based on valuation has obviously been the wrong thing to do so far.

Tons of liquidity are being tossed into the world economy. Some is going to stocks so it's only natural that they'd rise. That's ALL that's happening now. No smoke, no mirrors, money always finds a home. When the liquidity stops, or is destroyed, the markets will fall.

Central banks are afraid to raise rates right now because they know it would crash the markets. They're right. It's a game of chicken. Let's see who blinks first.