SPY rocketed from 86.91 to 93.47 between December 29 2008 and January 6, 2009 a gain of 7.5% then began to fall all the way to 66 in early march 2009 a drop of 29% in two months. Don't think it can't happen again. 30% drop brings the SPY down to $102.50, Yes $102.50! all you folks that think the market can only advance because of QE and that is simply not the case.... and back then we already knew BHO was President. Now fast forward to today. Dec 31, 2012 spy hit 139.54 in the am trade and today Jan 4 it is 146.37 a gain of 4.9%!!!! so again, we could drop 30% in two months to 102.5 because it has happened before and can happen again. Watch and learn. Makes zero sense to not take chips off here. History does repeat. Better buckle up for the plunge.
I don't know about that, but there will be a reality check at the end of Feb with a huge fight in DC.
No to mention the fact that nothing has really changed, other than the free money has been winding down.. I almost bet that they wouldn't get a fake cliff deal done, but they did. Glad I'm now in cash and waiting for VIX to get a little lower and SPY a little higher.