Just because the market broke the trend and dropped doesn't mean its going to happen again.
The main difference between 2000 and 2007 is that there was extreme irrational exuberance. It ain't so now. In fact, everyone is pretty antsy about this one.
There is either money on the sidelines or the shorts are hungry and making bets and there is a good chance...
Year 2000 top 641 days.
Year 2007 top 639 days
Year 2018 top? just 426 days... Could be a top, or it could be a messy phase like in 2015-2016.
I have seen a lot of posts predicting stocks are going down the toilet. In the long-term they may be right, but tops take up to two years to complete, and we could be in the middle. It could be a long-drawn out process. ...
Ok, if you could actually buy the vix, then this is about the time to start selling -- and buy the S&P. Could it go lower? Sure, but the S&P has finally returned to the 50-M moving average....so while there are a lot of "The sky is falling" posts out there, this is just a return to the mean.
