But the funny thing is that there seems to be nothing more than momentum. Sentiment, less quantitative easing and market breadth have a negative impact on stocks. At least they had...but not these days. I do not raise the valuation problem at the moment but...well, after more than five years of the bull market in stocks it is rather a hard thing to find cheap stocks (apart from the traditionally battered sectors as e.g. precious metals or coal mining).
Let us look at these charts:
Sentiment - optimism is easing but the market does not bother.....:
FED action - previously, when FED was cutting bonds purchases, stocks were correcting...but not these days:
Market breadth - less and less stocks are pushing market higher but...who cares about this serious danger?