Should you be trading on fundamentals right now? Many investors are grappling with that question.
Although you should never discard them entirely, it doesn't seem fundamentals are really driving this market - at least not for the moment.
Take Amazon trading at 44 times next year’s earnings; nothing fundamental supporting that valuation.
Or take the stronger dollar – generally seen as a bet on America’s recovery. It's dragging down the US stock market. Fundamentals would suggest a better economy is good for stocks, right???!
See what we mean. Fundamentals don’t seem to be making sense right now. Does that suggest technicals could make a whole lot of ‘cents’?