After the inclusion of TSLA, the market-cap weighted 2-year forward P/E of the S&P will rise from 28.9x to 31.0x pic.twitter.com/gPuf4flum8
— zerohedge (@zerohedge) December 18, 2020
Spread> 46.4 pic.twitter.com/DLkX5gHyus
— Antonio Pérez-Algás (@apanalis) December 18, 2020
Very similar to the lead up to the January 2018 top AAII bull readings went from vertical ramp to a lower high while $SPX continued to drift higher amid lower AAII readings.
That divergence then led to a sudden 12% sell off that took out 16 weeks of price advance in just 2 weeks. pic.twitter.com/lrcLGe4AfS
— Sven Henrich (@NorthmanTrader) December 18, 2020
The one thing that concerns me about being long going into the "Santa Claus" rally is that EVERYONE is playing the same trade. As Bob Farrell once quipped: "When all experts agree, something else tends to happen."
NOBODY is hedging for a correction. pic.twitter.com/WikvKWi8Zv
— Lance Roberts (@LanceRoberts) December 18, 2020