Interesting link on Reddit about the stock market and a bubble

[Bernardo de La Paz]

8. Possible markets (SP500) might make even small new highs, tho unlikely. Futures down as I write this

In the last week or so, the market swung from oversold to overbought in near record time. I heard that it has been mostly retail buying of stocks.

There is a thing called a "bull trap". Bulls come in when there's a bit of a bounce off of some lows and buy up, thinking the correction or whatever is over. Then it runs out of steam and the market falls.

There's the old saying that bull markets "climb a wall of worry". I heard a new one yesterday that bear markets slide "down a slope of hope". Something about the recent rally strikes me as a slope of hope.

One way I look at it is, sure we could make new highs. But I think the downside risk is bigger and stronger than the upside opportunity.