
U.S. Stock Market – Because the most recent highs in the DJIA were within a fair range of the top I anticipated when I first noted this megaphone technical chart last January, I’ve stated there isn’t that much upside potential left to warrant staying aggressively long general U.S. equities. While not suggesting a crash or dramatic decline anytime soon, it’s my best guess (because guessing is all any of us really do no matter how sophisticated we try and make our work look) that very limited exposure to general U.S. equities is the way to go until further notice.
I do want to stress however (however is a word many strategists can’t live without), U.S. equities are likely to be the lesser of two evils over bonds for some time to come and therefore can be anticipated to find support after meaningful declines. Knowing virtually all financial advisers have some sort of membership and/or allegiance to the “Don’t Worry, Be Happy” crowd that makes-up and controls Wall Street, you should always realizing that these folks will never ever abandoned stocks or bonds or both in any meaningful matter. Remember, you can toss the lot of them off the top of the Empire State Building and all the way down they shall all say the same thing – “so far so good!”
……read more on US Bonds, US Dollar & Gold HERE