Saturday, December 28, 2013

The Most Underappreciated Bullish Evidence [SPDR S&P 500 ETF Trust, iShares Russell 2000 Index (ETF), Vanguard Total Stock Market ETF, Energy Select Sector SPDR (ETF)] - Seeking Alpha

The Most Underappreciated Bullish Evidence [SPDR S&P 500 ETF Trust, iShares Russell 2000 Index (ETF), Vanguard Total Stock Market ETF, Energy Select Sector SPDR (ETF)] - Seeking Alpha

This is another good article by Chris Ciovacco about why we should stay in the stock market.  As he mentioned, it is virtually impossible to pick the exact top for the market.  One reason for this is that investors are constantly adding money to their 401K funds, and that money will mostly go into stocks because many people who have mutual funds like large cap stocks and the S&P 500.  Chris also showed a couple of important charts.  One graph illustrated that consumer staples (XLP) was in a downturn compared to the S&P 500. In other words, people and institutions were not defensive.  The other important chart showed TLT (20+ year bonds) in a downtrend compared to SPY, the S&P 500 ETF.  People are not worried about stocks or the economy.

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