So long as predictions remain popular, and are so numerous as they are today – and so long as they receive notoriety through repetition in the press and on the radio – contrary opinions will increase in importance as thinking aids. “
In this edition of Frank Thoughts, Frank expands upon last month's topic "The Bond Market". Frank examines closely the true catalyst for the bear market in equities and answers the question: Is the current bull market "just a rally" or the start of a long-term (secular) advance for equities?
THE RALLY
The...
It's amazing how symmetrical the market can be over time. I like to call it the "Pendulum Effect*". Typically when a market swings in one direction, once it reverses, you can expect a counter-reaction of a similar degree (like a pendulum). There's no better example of the pendulum effect than the price action within the equity markets...


