Extremely Bullish?
There are many well known investment pros who are what I call “Professional Bears”, always saying the market is too expensive and ready to crash. I have been around long enough to recognize that markets not only are generally expensive, but they can stay so for many years. So, the intent of this article is not to yell MARKET TOP, but rather to give you a sense of perspective and how to deal with it. I have recently decided to increase the GetFolio.com database by adding data dating back to 1980, in order to further my research. I have done this because too many investors have high expectations, and have been spoiled by the bullish 1990s. It is absolutely amazing to see how far we have advanced, and how many companies simply did not exist prior to 1990. No QQQ, no OEX, no YHOO, and even no Starbucks. Let’s take a look at the SPX historical chart, which is the best long term Index to consider, and see what really happened to the market from 1970-2004. you can see that from 1970 to 1983,
