Have you been waiting around to "buy the dip" on this latest stock market rally?
If so, you have been waiting a long time. And I'm not just talking about the recent 10-day winning streak.
The Dow surpassed its all-time high and the S&P 500 is not that far from the tops of 1553 on March 24, 2000 and 1576 on October 9, 2007.
How Strong is the Trend?
The chart below compares each of the equity markets. If a market is
shown to be at 100%, then it's currently at a new three year equity
high. If not, then the percentage number indicates how close it is to
reaching a new equity high.
Also visit the Drawdowns Metric page to view historic equity high watermark charts.
Similar to 2000 and 2007, the economic, valuation and political background does not seem to support the budding euphoria.
But, as Citigroup's CEO said in 2007: “… as long as the music is playing, you’ve got to get up and dance. We’re still dancing.” Remember how well that turned-out?
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