The markets have continued their run into new high territory and most major market indices have participated. In fact, the NASDAQ Composite – an index primarily known for its technology bias – has hit new highs not seen since 2000. That said, there are a couple of red flags we are seeing in the markets:
To be clear, we continue to see strength in the global economies. As mentioned previously, Europe looks to be accelerating, which is great news. But, it has been almost a year since we saw a correction and we are probably due to go through a corrective phase. That said, we also feel that any correction in this time frame will give way to higher prices by year’s end. As such, we are exploring ways to capitalize on any market weakness in this time frame.
The markets have been running up recently, primarily on the back of strong performance from the technology sector. The summer months tend to experience lower levels of trading, so we would expect a bit more volatility during these months. But, there are a few trends we are seeing that define the markets move up:
As mentioned, we would expect the markets to level off and even potentially correct in the next couple months. But, we also feel that any correction in this time frame will give way to higher prices by year end. As such, we’re exploring ways to capitalize on any market weakness in this time frame.