Being somewhat of a contrarian I use the above headline with trepidation as I look back at the number of articles published in February and March of this year that equated the 2012 - 2014 market with that of the crash of 1928 - 1929. We wrote an article in mid February, 1929 Crash: Charts That Mislead Investors, that pointed out the difference between 1928 - 1929 to 2012 - 2014. Fast forward to today and the so-called "scary chart" looks like a crash has been averted. The below chart is courtesy of Yardeni Research and the chart would indicate the market is not following the 1928 - 1929 pattern.
|From The Blog of HORAN Capital Advisors|
Source: Yardeni Research, Inc.