This market is so bogus. It is so obvious that the economy is terrible but it refuses to go down. Buying on the dips has worked great but there will be a time in the near future when it backfires. They are setting up the sheep for a slaughter.
The economy doesn't matter. The fed policy of keeping interest rates low and bonds unattractive is causing the market to go up. Not only that but Japan is getting even more aggressive with the same policy as well as Europe so more money will be diverted into stocks. You may have a minor pull back here but the uptrend will continue at least for a couple years. Plus the market will go up slow and consistent since their injecting 85 billion a month. With Japan now adding 75 billion a lot of that money will find its way to US stocks. Who is going to invest in a bond paying 1/2 percent. Apparently no one like gold either, lol. This market still has a long way to go as fund managers are buying on the dip. That is what happened toward the end of today. The Russell 2000 has only pulled back about 3% off its high. I believe sometime this year it will reach the 1050 or higher range. Whatever you do do not short this market. If the economy improves that could actually hurt the market if the FED stops buying bonds. IMHO
The economy may not be terrible even if unemployment is going up. T3echnology is making many workers redundant or unnecessary, 3D printing may make many manufacturing jobs obsolete, adn computer-aided assembly lines are already hurting the Chinese economy as Western companies create automated assembly lines close to their markets and close plants inChina.
jobs reports is telling us that companies don't need a lot of workers anymore.....they've learned to streamline and be more efficient/productive........and yet we are giving citizenship to illegals, mostly mexicans, so more jobless americans