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Friday, September 20, 2013

Stocks About to Plunge, Well Fargo Strategist Warns

http://www.cnbc.com/id/101049191

"Our target is based on fundamentals," Adams insisted. "We're basing our target on typical valuation measures, given the level of interest rates and also on earnings forecasts. And that's why our target is relatively low."
In fact, "low" is somewhat of an understatement. Adams' target implies that the market will drop 16 percent in little more than three months, erasing everything that stocks gained after the year's first day of trading. This makes her one of the lone bears on the Street.
So what could produce such a dismal fourth quarter for stocks?
First of all, Adams is highly skeptical about the rally that the market has enjoyed thus far.

Hmm a " Get long " signal?

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