U.S. stocks return to historical highs, market prices are inflated or create resistance to digital currencies

Since the official employment data was released last Friday, the trading volume and price of the US stock market have continued to rise. The NASDAQ index broke through the record 10,000 point the day before yesterday (this Tuesday).

In a market environment in which the real economy has been hit hard multiple times, the Federal Reserve’s strong support has caused the stock market to return to the highest range in history, which has aroused the vigilance of many professional investment institutions. The analysis of "Zerohedge.com" pointed out that the worldwide economic depression that began in 1929 was once in the Great Depression. After the fall, there was a sharp rebound, but in the end, the stock market continued to decline for a longer period. The above picture directly compares the current Dow rebound with the short-term rebound after 1929, which reflects the high market hedge to a certain extent. After that, the future trend is quite anxious.

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This ratio has reached near the lowest point since the subprime mortgage crisis. It can be seen that the short-term protection of the market is extremely weak, and the market is dominated by simple bulls. Investors who are in a profit sell off the market, and the overall downside risk cannot be underestimated.

I believe that many people still remember the sharp plunge in global asset prices in March this year, the drop in stock and currency prices, and the sharp increase in the correlation between risky asset prices. "Healthy", but if you want to make a further breakthrough, you have to face the transmission of lateral pressure from the "high correction" in the US stock market, and the situation is still unclear.