The standard September/October correction is coming. Take your profits now. Buy the dip. The price action in the last two trading days look like the beginning of a correction. The market will find a reason to react downward. It has lots of them: pandemic, government lock downs, riots, civil unrest, looting, debt levels, presidential elections etc.
A pessimistic outlook on the world has been fashionable for a few hundred years now. Behavioral economist have found that people are more averse to loss than they are eager for gain. The CEO of a brokerage firm made this important point once:
“If you wake a multimillionaire client at five in the morning and say, ‘If you act now, you will gain twenty thousand dollars,’ he will scream at you and slam down the phone. But if you say, ‘If you do not act now, you will lose twenty thousand dollars,’ he will thank you.”
The world is becoming a better place. The standard of living keeps rising. I have shown the data for this at other post. I believe this will continue. Interestingly, over the past few decades data analysis has shown that the sentiment of news stories has been trending downward. This has accelerated since the birth of the internet. For investors, being drawn into this mind set has negative consequences. You should bet on progress, ingenuity, humanity and prosperity.