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A stock market indicator with one of the best track records has rare good news for investors

Por: MarketWatch Business December 24, 2022

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The average household’s portfolio allocation to equities is a contrarian indicator, with higher allocations correlated with lower stock market returns and vice versa. According to econometric tests to which I subjected this and other valuation indicators, it has one of the very best, if not the best, track records when forecasting the stock market’s real total return over the subsequent decade. There are other contrarian signs with the same... + full article



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