Part 6/10:
When excluding the top mega-cap stocks, the broader S&P 500's performance remains relatively modest and more sustainable. The recent rally, which began in October last year, has been fast but possibly unsustainable. Many anticipate a moderate correction—roughly 10-15%—rather than a catastrophic crash, which could serve as a healthy adjustment rather than the end of the bull market.
Navigating the Market: Tips for Investors
For long-term investors, bubbles often aren't a real concern as markets tend to correct over time. However, short-term traders and market timers face more significant risks. Bubbles often present opportunities to profit from sharp corrections, but these require skill in reading price movements, identifying trends, and managing risks.