Barron’s has published a very curious article. The piece takes a look at the market and spends a great deal of time showing how the current stock market is both technically and fundamentally sound. The economy is good, market momentum is strong, the rally has good breadth—the whole nine yards. Yet, its overall tone is that investors need to be worried, and prepare themselves for the inevitable downturn. One way to prepare would be to cut out the weakest stocks in your portfolio (likely all with gains, but less than others) as these are likely to fall harder than the best performing stocks. Additionally, consider cashing in some chips, and also, importantly, defining clearly when you will pull out, whether it is when a trend line is broken or at a 10% loss etc.
FINSUM: This market is very rich, but also incredibly hard to time (as always). However, there could still be a lot of gains before a correction arrives.