The US stock market posted a massive move higher on Friday leaving many investors wondering what to do next. No one wants to get left behind and the stock market cheerleaders press you from every angle. They passionately argue that stocks are cheap and are especially attractive relative to bonds or cash. They will argue that they are a great hedge against inflation. They will talk about the Bernanke put. They will talk about how little exposure the US actually has to Europe. They will even try and pull out the rule of 72 and after experiencing the massive easy money rallies of the last couple of years, it may be tough for you to believe otherwise.
Today I am going to be bold and lay out the case against stocks by looking at stock market valuations, economic data and market technical data.
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http://seekingalpha.com/article/783521-time-to-short-the-s-p-500?source=feed
Realist - Everybody in America is soft, and hates conflict. The cure for this, both in politics and social life, is the same -- hardihood. Give them raw truth.
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