Are we in for a correction or are we seeing the top of the market before it rolls over into a bear market? That seems to be the question on everyone’s mind. Even those who are long-term bulls on this market are cautious at best. I have read very few comments like I did in 2000 or 2007 about a market that is headed for the moon on the back of the “New Economy” or “Peak Oil.” We’re not at that stage yet, so the skepticism we’re seeing is good.
So where do we stand? Well, I’m starting to sound like a broken record, although I’m not sure my grandkids would know what that means. Regardless, I’m cautious as well and think that the market is at best, fairly valued with some symptoms of overvaluation. However, I also believe that we are still in a long term bull market that won’t end until we’re solidly overvalued.