I do agree with powayseller, vrudny, Roubini, and Fleck, and I also think if one wants to risk the inverse funds or options, go for it. Just don’t use up all your money (like me, haha).
And I want to stress, that all of us have an opinion and an opinion only. This is a free forum and nobody should take advice literally. Rather chuggle if he doesn’t agree with others, and time (and profits) will tell who is right. I was wrong several times, and always I learned a lesson I will never forget.
Yes, I absolutely do believe that most people that drove up that rally do not have a clue. The same way any rally in 2001 happened, where nobody had a clue. If so much profit comes from the finance industry, and everybody has all his 401k in stocks, no wonder nobody cares to do the math anymore and just be bullish. The same way PALM at $160 didn’t add up if one divided the market cap by likely users. That’s why it went to $1 (and maybe for other reasons, too)
This is a rally like any other upside or downside trend, that has nothing to do with who knows what better. It just happens. Again this is just my opinion, and I am very happy that it is a contrary opinion, except for a few users on this board who agree.
