February 14, 2012

Markets Are Overbought & February Is Traditionally A Weak Month

Basically, what has happened, the market peaked out last May, then it dropped to 1,074 on October 4th on the S&P 500 Index. Now we’re up 25%. The market is very overbought right now, and any excuse for profit taking is now being taken. And I think February is traditionally a weak seasonal month, so we’ll go down first for a while. - in ETF Daily News

Marc Faber is a great contrarian investor and publisher of the Gloom Boom & Doom Report. He is well known for his accurace predictions of stock market crashes and other correct calls on different investment assets.