Quote from stock_trad3r:
There is a gang of maybe five to ten perma bears on elite trader who for the past year have been constantly bearish in spite of the markets recent run. They hope that every sell off will result in a bear market of correction but their payers are in vain.
My predictions are:
There will never be another bear market ever again baring a major disaster such as a nuclear war or a massive meteorite impact.
And unless a market correction happens within the next ten years there will never be another correction again.
One possible reason is because in the past decade the US and global economy & markets have become very finely tuned with a perfect balance of growth, valuations, and inflation. In addition there are so many market players, arbitrageurs and hedging that to create a such a long standing market inefficiency that constitutes a bear market or stock market crash would be seemingly impossible. Empirical evidence of this is the continual decline of the CBOE vix index since 2000 and the the fact that the average PE ratio of the S&P 500 index is at 15 year lows.
Analogous to a musician that doesn't lose his tune as the result of years of practice the stock market will become increasingly fine tuned in that 'mishaps' like corrections, crashes, and bear markers will cease.
The chart of the S&P500 5-10 years in the future will resemble a nearly smooth exponential parabola whereas forty years ago there much much more volatility.
l think with your forecasts that you should be on the cover of business week one forecast would be the repeal of bear cycles. the second forecast is a smooth "exponential" bull cycle.
"Analogous to a musician that doesn't lose his tune as the result of years of practice the stock market will become increasingly fine tuned in that 'mishaps' like corrections, crashes, and bear markers will cease."
in order that there should be no mishaps there can no be excesses.
of course the internet stock boom and the real estate related stock boom are things of the past according to your thinking.
since you are expecting a parabolic chart of the s&p in five to ten years you are predicting a bear market now so that we can reach a low point in the market from which the market will rise
exponentially.
of course we can always have sector bear markets forever?