"Forgive me if I am being repetitive, but my opinion remains the same as it has for the last few years. Technical analysis can be done along numerous time frames and for many different trading styles. But when we look at most developed country indices from a 20 year time frame, I firmly believe we remain in a secular bear market that coincides with a secular bull market in gold and commodities. In a sense it is a financial (paper) asset bear market caused by the absurdly overvalued levels of the dot com era and the constant attempts by Central Governments to create growth through monetary expansion. I think that QE2 proved that there will be a law of diminishing returns for these actions. It seems now, that Bernanke's speech at Jackson Hole, where he mentioned the possibility of further action and the 2 day September meeting, has given the QE traders cause for optimism and stoked a mini-rally. We have reached a point where it seems as if markets want bad economic news since it gives them hope for monetary easing. My question has always been, what is the upside in the U.S. and Europe (70% of world GDP) when there is little to no improvement in employment and housing numbers? There is no doubt that we are entering a "soft patch" within an already historically weak economy. There are numerous recessionary signals coming from certain pieces of data. I am aware that PE levels seem decently valued on a forward basis. I am also aware that quality companies have pristine balance sheets. My answer is that earning estimates for the S&P 1500 have suddenly begun to be revised downwards more than at any time since 2008 (Bespoke Earning Estimate Revisions). And pristine balance sheets are caused by the fact that companies are not hiring and not spending, aware that the economic environment is not conducive to such. These companies are buying back stock, increasing dividends, and holding cash, none of which is improving economic conditions. Further more, I believe most economists believe that GDP growth will remain well below historical trend because of excessive government debt and demographics. If I am correct about a secular bear market, we are experiencing an extended restoration of value and it very well could last through this decade and include a number of bull and bear cycles. I continue to believe strongly in commodity based and emerging market based companies as the best opportunities. However, I think those who practice patience will be rewarded with wonderful entry positions. If I were to go out on a limb, I would predict that at some point we will reach very low (single digit?) normalized 10 year PE ratios that will act as a springboard into a true new bull market, a la 1982. I realize that I can be accused of being overly bearish. However, I actually believe the current environment can be quite rewarding for those who read the tea leaves correctly."

Eoin Treacy's view Thank you for your assessment, contributed in the spirit of Empowerment Through Knowledge. Your views rhyme with those of Fullermoney. Our solution has been to concentrate our attention on the markets that have positive growth trajectories, expanding middle classes and improving standards of living. These are mostly in Asia and among the commodity producers.