Market euphoria

Posted: March 3, 2015 in Uncategorized

We need to pay very attention to this market.

The Greek crisis showed us that even the fear of a Grexit (Greece exit) cannot stop this market.

And not because the economy is good (it isn’t), but because all the institutions believe that this market is so well manipulated by the Reserve Banks of the world that nothing can go wrong.

This is the typical stage where if something unforeseen happens and something starts to go wrong a real new financial crisis can start. If the market stop believing the Fed and company can save us all – the end could come really fast.

This does not mean sell and go away. The Reserve Banks can go on for much longer than anyone expects.

It is just that if we are in extreme greed territory, it is good to have also extreme fear….and be ready to jump.

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