I am bullish long term but wouldn't be surprised if we had a correction that rivals 2020, 2008, & 2000. Looks like a megaphone pattern. Currently, I am sitting about 50% cash, ready to deploy on the correction. If you disagree then ask yourself why big players like Warren Buffett or Dr. Burry are selling large positions or in Michael Burry's situation, putting a 500M short on Tesla? Let's hope I am wrong but I have to be honest with myself considering we are in a phase of euphoria and the FED is just fanning the flame with their MMP. What are your thoughts? Am I the only one that sees this?
I see it too. If you look at the S&P/M2, we are at the same levels of 2020 and 2008 just before they crashed. There's definitely more room to run if we are going to get anywhere close too the 2000 levels, but valuations are high. The only issue I see with the market crashing is that it would be disjointed from a lot of earnings right now. Major companies are reporting way higher than expected earnings which shouldn't result in a crash. Maybe in September when a lot of the spending goes away and the fed starts talking tappering?