A friend recently joked with me, that looking at technical will always make you bearish on the market. There is definitely some validity to that point. However, I believe sometime in the next year or so we are in for one major ****storm. Looking at the MACD, it really does feel like we are treading water. On OCT26 2020 and JAN 25 2021 it looked like we were about to drown but the market was able to keep going, the question is when will that steam run out? I am looking at things from the 5 year and 1 year timeframe and my gut says soon. However, we could be looking at another bullish year, it is very hard to predict due to the natural chaotic nature of the market and because of potential fed action such as the stimulus. Either way, I would wager that most of us would agree that within the next three years we are probably going to have either a major crash or a bear market. The fed's money printers can only keep the economy running for so long, and I believe a moderate rise in interest rates will be all it will take for the house of cards we have been constructing since the COVID crash to start crumbling. RSI also has bearish divergence, which would indicate that upward market movement is not likely. I make this post not with the intent to tell people to pull out their money. We are somewhat caught between a rock and a hard place because with the inflation that is likely coming, and will be exacerbated by stimulus, cash is not a good place to be either. My perspective is right now value-investing is a good middle ground, but some may go for gold, crypto, or etc. We all have to make our own decisions, I just want people to be aware of the precarious situation I believe we are in. We could be in for another two bullish years, or we could crash on Monday, I do not know and anyone who claims to know is a liar. However, I would encourage you to consider if the potential gains in buying speculatively valued stocks right now outweigh the costs. Anyway, I am looking forward to any perspectives in the comments, and I wish you all the best of luck for the inevitable ****storm that will hit us whether that is a few years from now or a few days.
Disclaimer: Not financial advice I am just another dumbass on the internet.
Disclaimer: Not financial advice I am just another dumbass on the internet.