May 5, 2011

Barry Ritholz on reasons for being bullish on equities

What is keeping us long?

None of the usual technical or internal signs of a major correction are present (yet). Supply continues to be constrained, selling pressure is light to moderate, breadth and liquidity are strong.

Giving the markets the benefit of the doubt has been the winning play so far. We expect this to continue to work until it doesn’t.

Hopefully, I will be able to warn you in advance before markets get too far gone.

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