The Nasdaq trails the Dow and S&P 500

If you are not able to trade, there seems to be no good place to put your money save for cash. Take the stock and bond markets. The stock market is, by any measure, extremely over valued. While this does not help time the coming crash, it is a neon warning sign to stay away from buying. The vast and overwhelming majority of stock market volume is automated. But, the machines are not programmed for a long and severe bear market.

 

OK, so how about the bond market? A sizable percentage of government bonds around the world have negative interest rates. It is the central bankers who have bought these bonds to such an extent to as to push their interest rates negative. What individual investor would buy 30- year paper at a near zero interest rate? The price of the bonds has only one place to go.

 
Here the chart of the Nasdaq 100:
nd100

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