THE MARKET IS REALLY PRICEY?

There many too investors who convinced the market went to much up and they are getting more pessimistic about the bulls, specially after the great last month rally. The DJIA has come up closely 2.000 points since the middle of October and stays on record level. Day by day hits new historical highs. They do believe the market is overvalued and it is in a bubble phase and pretty soon that needs to burst.

They have anxiety about the state of the financial markets and they tend to catch the short side of the market. They burn out always in this condition of the market. In the last 4-5 years I have heard thousands of times the market is too pricey and needs to come a correction. Yes they are right many cases, because in the long bullish secular trend what we are experiencing now has correction periods, but the trend is obviously bullish and the bulls stay with us for many years more.

We are really fascinated by this chart which gives us bigger perspective and shows the big picture about the stock markets. This one chart by Merrill Lynch BofA tells more information than thousands of words that the secular bull market just got started.

The BFM Assets Team.