Sorry guys, I was suppose to publish this in Monday, but I somehow messed up this blogging software, so I finally got this working today. The market call is a little late, but still valid.
Last week, market leaders like Apple started to lag the overall stock market rally. Such an act is commonly considered to be a sign of a major stock market decline, but I don’t think so (which is why I bought Apple stock on Monday). I have to admit, even I was fooled into believing that 1470 (for the S&P 500) was going to be the market top, but I now believe I was wrong. A couple of reasons:
- The big one being QE3. Once QE3 helps the market break its old time high, the market will self fulfill its prophesy and soar higher.
- The economy and the job markets are stable.
- Home prices are stable.