The Bears Are Seeing Red In A Sea Of Green | Seeking Alpha

The Bears Are Seeing Red In A Sea Of Green | Seeking Alpha



Here is a very interesting article supporting the bull case for stocks. The author uses the Philly Fed States Leading Economic Indicators report as one of his main arguments.  This report looks out six months in advance, and this is one of the economic indicators that I follow.  I have a Philly Fed link at my main website, Fibonacci-Stocks.com.   



A second point that the author presented was the advance/decline line for the S&P 1500 index which covers 92% of stocks.  The A/D line is going up along with the stock market.  He states that the A/D line peaks before the stock market top, and we will be able to exit before the crowd if we are paying attention.  In summary, this is a time period when you should own both stocks and bonds because we don't know exactly how far we are from the top.