Chart courtesy of www.realtimestockquote.com
As the chart shows the Dow Jones Industrial Average has had a great run since 2011. It appears we have reached a "double top" of sorts. Most of the indicators are leaning to an overbought level ready to pull back. This is not to say the bull market is over; rather, we are entering into a seasonal time of selling. It should present more buying opportunities. Several of the large cap stocks are paying dividends well above 2%. And they are more stable than most banks. This is too good to pass up.
Be wary of experts who say that the excess liquidity in the market can only be good for the market. What they are not saying is that bank margins are being squeezed the lower the interest rates. That could potentially be a problem for this market.
Note: The above is for informational purposes only. Any decision to buy, sell, or hold a specific investment should first be reviewed with your personal investment adviser.
