Last week’s sell-off left the “bull market” on shaky ground.
The big question for investors at the moment is whether the 11-year old bull market is ending or is this just a “pause that refreshes?”
While the optimistic “hope” is that this is just a pause within a continuing “bull market” advance, from a money management standpoint getting the answer “right” is vastly more important to long-term investing outcomes.
The easiest way to approach this analysis is to start with the following basic premise:
“Bull markets are born on pessimism, grow on skepticism, and die on euphoria.” -Sir John Templeton
