BULL RUN to Start Soon!
Overall, I'm pretty pessimistic on the US economy. But even during the Great depression, there was money to be made in bull runs, and we are fast approaching the next one.
Don't try to argue fundamentals, or charts, or anything besides "investor psychology". We are a point where investors are feeling overly confident. Right now those big investors are taking some profits as the feeling is that a correction is due, but that free FED money is too hard to resist - especially when some risky moves now can mean a BIG FAT BONUS check.
You are fooling yourself if you think the investment bankers have changed their stripes. In fact, with the bailouts, they are taking even more risks today - knowing that the gov't is behind them 100%. I'm expecting SDS to poke above $40 (as I wrote about last week). Then I'm long until Dec 8!
Good luck and good investing!