Wednesday, March 6, 2013

The Dow High Nobody Believes

The Dow Jones Industrials has rallied in the face of incredible skepticism with a litany of reasons why it shouldn’t be happening, that are of course all domestic oriented. This is fantastic for it shows the market is NOT historically at a high. Bubbles come when the vast majority claim the rally will never end. What is happening here is a lot of clever people keep selling and getting stopped out. They are fueling the rise and that is VERY GOOD for the long-term.

GOLDEN RULE #2

The market gods are NEVER generous. They give you one chance only to sell the ALL-TIME HIGH OF HIGHS or buy the HISTORIC MAJOR LOW. The more a market keeps knocking on the same door, the chances are that door will open.The curious aspect is the overwhelming news coverage is saying this is a top that could begrudgingly go a little higher. The likelihood is clear – by NO MEAN are we dealing with a major high.  (more)

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