There's no question the bulls have the upper hand in this market. Granted, since the February 2018 "warning shot" and the volatility that's come after, we're not seeing the same kind of wild abandon that drove the Dow 25% higher in 2017. Until then, it made good sense to be long and buy into the dips.
That's not the case any more. And in fact, if you've adhered to my recommendations, you're sitting on a nice, safe, headache-free 60% or 70% cash position by now.
Over the last six months, we've been in "meat grinder" mode. The markets get locked into a trading range, chopping and churning... and "chewing" traders up.
Still, there has been a persistent bid under stocks that has run counter to my analysis.
Nevertheless, I'm on the record as saying a bear market will arrive sooner, not later. And despite the markets' grinding higher, I find in the facts and emerging trends that there are definite signs of increased market risk...
That's the harbinger of the bear market that I'm still very much expecting...
About the Author
Financial Analyst, 50-year charting expert, finance + real estate pro, and market analyst; published and edited the Wall Street Examiner since 2000.