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Europe is not a bargain

When everything is thinking the same thing,
no one is thinking

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The bulls are all in

This is the most fundamental issue in markets, yet it's also the easiest one to get wrong.

When everyone is already in, where are the new buyers going to come from to take the market higher?

When everyone has sold, where will the new sellers come from to move the market lower?

The answer is: nowhere.

The old saying "there's nowhere to go, but up" when all the sellers have sold and there's no more inventory is a pretty accurate representation of how things work.

Missing from the common lexicon is "there's nowhere to go but down" and that's what happens when everyone is already in the market, everyone's a bull on higher prices and there's no new blood coming into to buy the market higher.

Right now, in spite of all the bullish media, essentially there's no where to go but down in Europe.