Has the S&P 500 gone loco? Or is it behaving normally?
Is the Nasdaq parabolic? Or is it trading in an orderly fashion?
Many strategists are characterizing the current advance as a “blow-off” move. But on what evidence? The four charts below portray a normal bull market. Perhaps yours truly is the real lunatic. What am I missing?
Chart 1. Is 12% annualized growth a “blow-off” reading?
Chart 2. Is 16% annualized growth a “blow-off” reading?
Chart 3. Room to run per 4-year cycle
Chart 4. Current rally not abnormal