Michael Burry says market is in a bubble

[TexasHusker]

A stopped clock is right twice a day. Things can break in a variety of ways. (Consider: if the clock is slightly fast or slightly slow, it'll never be right without manual intervention.)

there you go.

[jeffmem]

Another headline about this, getting a bit worried.. But in long term it should be fine, but considering to sell some non performers to at at least shore up some cash in case...

https://www.nasdaq.com/articles/a-stock-market-crash-is-coming%3A-5-high-conviction-stocks-to-buy-hand-over-fist-when-it

[kork13]

Oh yeah, there's definitely a drop in the offing. But we don't know when, nor how much growth we'll continue to see before that occurs. It could also just turn out to be a long, slow decline over the course of a couple months. If anyone isn't comfortable with the possibility (likelihood) of account balances dropping in a correction, perhaps a reassessment of the AA is merited.

That said, I am also building up some cash savings to have available as dry powder when it does happen. We want the cash for some flexibility right now while I'm deployed (freedom to hire anyone to fix/handle anything), but if the markets drop significantly, I'll definitely take at least half of it to invest & take advantage of the buying opportunity.

[wandaruth]

Hey, I navigated through the link, and I agree with Michael Burry. I observed that prices are fluctuating, and they decrease and then increase very rapidly, representing inflation. I have been using trading applications for a long time, but these periods are difficult because I am used to trading in a more relaxed manner and investing a little. So, I am using the Robinhood platform for trading, but it is hard to make good predictions. I have searched for the best Robinhood alternatives, and I found some. Now I have better control over my money and all the trading I do. I am more relaxed, and I am not so affected by the situation.

[james.hendrickson]

Is the market still like this?

Yes, and its probably gotten a bit worse.

[Singuy]

Tesla takes another victim to the cleaners.

Michael Burry says he's no longer betting against Tesla and that his put position was just a trade (cnbc.com)

[LivingAlmostLarge]

Tesla takes another victim to the cleaners.

Michael Burry says he's no longer betting against Tesla and that his put position was just a trade (cnbc.com)

Okay so tesla took him to the cleaners doesn't mean he's wrong that the market is in a bubble. It's not either or, it can be both.

[Singuy]

Okay so tesla took him to the cleaners doesn't mean he's wrong that the market is in a bubble. It's not either or, it can be both.

MB made bets on specific companies/ETFs to maximize his returns when the bubble pops. ARKK and Tesla are his most famous ones. Him getting out of his position means he's calling it quit on this bubble for now. He'll be back I'm sure.

[Captain Save]

Saying the market is in a bubble and making predictions are two different things.. the market can be in a bubble but how you assess what will happen will be wrong..

To me the market has been in a bubble since we recover from the last crash .. the bubble is being prolonged by the fed and new policies.. however .. I don't think the American people can take a true correction ... for us to really experience a true free market, a lot of of people would have to take a dose of reality that they're not ready for.

[LivingAlmostLarge]

Saying the market is in a bubble and making predictions are two different things.. the market can be in a bubble but how you assess what will happen will be wrong..

To me the market has been in a bubble since we recover from the last crash .. the bubble is being prolonged by the fed and new policies.. however .. I don't think the American people can take a true correction ... for us to really experience a true free market, a lot of of people would have to take a dose of reality that they're not ready for.

This is exactly the point. Calling a bubble and predicting what happens are two different issues.

[corn18]

This has been a great bubble so far.

[disneysteve]

This has been a great bubble so far.

It has. It’s been very broad, not just inflating one sector like tech but rather pretty much everything. I’m amazed each time I check on things and the balances have climbed considerably from last time, even when it’s only been a matter of days.

[Thrif-t]

I'm in the be fearful stage

[disneysteve]

I'm in the be fearful stage

What, if anything, are you doing as a result?

[Thrif-t]

What, if anything, are you doing as a result?

I've felt like this for a while and I know you aren't to time the market but I did sell some funds at a gain ( mid 2019) and put the proceeds in my cash account.

I do still invest regularly in stock funds but I'm waiting for the bottom to fall so I can use the cash to buy low. I just feel I'm getting to the end of the line in regards to work and I don't want to see my balance go way down. I want to preserve what I have. My 401k is with Schwab and they have this little diagram that shows me that my $ will cover 100% of my retirement needs, so I'm fine with missing out on big gains to preserve that.

Our Vanguard accounts and DH's 457 are still invested probably 70/30 so I feel like my 401k will be there for us if we lose in these other accounts.

I'm finding I'm not as big of a gambler as I used to be now that I'm in the back 9 of life.