No, I don’t see any stock bubble, but only real estate bubble as I always say. The stock market is very healthy with good profit earnings from Google, Amazon to Apple. The stock market will continue to go up in long term with some corrections. The stock market will only decline a lot if the real estate market crashes very hard. That’s why I only shorted the real estate with very small portion of my money since it is the weakest market and all other industries are doing fine. However, I have already sold it after took some profit. Shorting position is ideal for short term only. It does not work for long term strategy except the (.com bubble + Sept 11) that decline lasted for a long period of time.
Real estate market is not profitable anymore, investors invest the money to the stock market for other industries. Therefore, it actually helps the stock market. Stock market may be up for another few %, then it will have another small correction. Overseas markets preformed way better than the U.S. last year. And they will be doing better than the U.S. this year also. Like China will slow down a little, but still with double digital GDP, around 10% this year.
