Thursday, August 6, 2009

More Contrarian Signs of a Top?

The other day, we saw that Goldman Sachs was calling for an end to the recession. Recent economic news has been cheerier. And -- most importantly -- the majority of financial news headlines and market calls have changed!

Up until recently, almost every market call by analysts was a return to the scary march and November lows. NOW -- we see that analysts are pointing to upside potential of 1070 from its current 1000 on the S&P. Some analysts are even calling for further upside of 10%-20% more!

The change in opinion could mean that we're finally due for a market turn. We hope that we don't see a return anywhere close to the March or November lows -- and do, indeed, see an end to the recession -- but we are also wary of the change in atmosphere. Markets don't continually go straight up or straight down. The pendulum will eventually swing the other way.

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