THE MOST HATED RALLY IN THE HISTORY

Yes, true it is not a typing error. Every trader, fund manager and small investors are depressed in a huge bull rally since 2009. Nobody wants to believe this could happen and they are waiting for a huge correction maybe not each day, but each week. They are concerned about FED policy, the condition of economy, inflation, house market ... etc. But this is a bull market, no doubt. The DJIA is flirting with the 17,000 points, the S&P500 with the 2,000 level, we haven’t seen a double digit correction for a long time, Nasdaq, S&P500, DJIA are on historical record levels. The DJIA just did a breakout in 2013 after a 14 years consolidation.

Old runners from the floor who spent decades in the business and saw many up and down cycles say this hate is supremely similar to 1980’s when after a fifteen-year bear market no one wanted to believe is over. But it was and occurred one of the strongest rally until the .com bubble of 2000.

When is the end of this rally going to be? I don’t have a faintest idea. Nobody does. Cause the US market is fairly pricey, but not superpricey and rich and we still see huge possibilities in the long side bullish trend. Why? Since against all the bad news, the markets are steadily just gaining week by week, just take a close look only at the last week horrific US GDP numbers and what was Mr. Market reaction? GAINING FURTHER. That is the behaviour of a bull market.

The BFM Assets Team.