10 Reasons the Market Could Crash in October
Michael Shulman, September 16, 2009
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#5 Earnings Will Disappoint
The market is radically overvalued based on current earnings. Historical norms say the S&P 500 (SPX) should be at 850, not 1,065.
And the depressed economy will lead to depressed earnings next year, which means the market will be even more overvalued than it is at current levels. This will be made clear with October earnings announcements.
Just because earnings will disappoint doesn't mean traders can't make money. Get 12 Keys to Trading Earnings for Profits.
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