Just look at the small volume that underlined today's market advance. The volume does not support today's price gains. A serious correction seems imminent.
As for the longer outlook, well, once we get safely into the year 2000, we are going to see a wild continuation of The Mother Of All Bull Markets. The public will swarm into the market in ever greater numbers, much as it did toward the end of the 1920s.
The result? Probably not the same as in 1929-30 -- that is, there will be no sudden and calamitous dive into a protracted near-oblivion. Rather, the new kids will simply continue to pile in, sheep will be fleeced and sharks will be fed, and the old timers will continue to shake their heads and mutter, "How can this be?"
And then, one fine day, there will finally be an extra-sharp and extra-hard correction, followed by a bear market of no longer than average length and intensity, and the old-timers will nod and say quietly, "I knew it."
ig |
