US stocks hit fresh new
high for SPX and Nasdaq($COMP) and DJI is less than 3% away from its historical
high. The US stocks seem unstoppable by whatever trade-war and trump crisis.
There is no signs of bearish reversal on the charts.
But according to the
famous Buffett's Indicator, the stock
market is Significant Overvalued, based on historical ratio of total market cap
over GDP(currently at 146.5%). The United States historically has a total
market cap to GDP ratio of 35% to 149%. Thus, the United States is very close
to the top end of its valuation over the past one hundred years. This is very
much a flag that things could be overvalued.
In Asia, the three major indexes that I'm following are all at or rebounded from their respective major support levels. The SSE index rebounded from its support level 2650 this week, HSI index rebounded from its long term uptrend line support this week(as shown in below weekly chart).
STI is at its major key support level 3200-3167 level. It's been touched multiple times since 2017, taking note that the index has broken down its major uptrend line( as shown in below weekly chart).
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