No. of Recommendations: 5
Huh. This is the same thing that Ken Fisher said in a recent video. Not only about the last half or Dec/Jan, but about after the November election. However it goes, the uncertainty is over. And markets hate hate hate uncertainty.
Josh Brown also had words about new highs. His words apply to market indexes as well as individual stocks.
When a stock hits an all-time high it means that people were willing to pay a price that no one before them has ever paid.
It means that no one has a loss in the stock or is “waiting to get back to even so they can sell”.
It means that a host of people who had been waiting for that pullback to get in are now ripping their own skin off in aggravation.
It means that it is the new favorite stock of those who are long, one that they will not easily part with because it is now “one of their winners” and it “has been good to them”.
It means the people who “bought small” are pissed even though they are up, these are the people sitting just below the offer like Tick Tock the crocodile loitering below Captain Hook’s gangplank – just waiting for a bite.
It means that every single analyst downgrade or estimate revision lower or silly piece of neutral commentary has been instantly invalidated – it all meant nothing and was a waste of ink.
It means that everyone who sold along the way, in varying degrees of course, was wrong – even if they were up big.
I'm thinking that the 5%-10% pullbacks just play into this thinking. "I missed that last rise, so I'd better buy this dip so I can catch the next upswing."
