Thanks JD, While the markets certainly seem "touchy" these days, they don't seem overly "high risk." In fact, the metrics on several levels seem neutral to modestly bullish.
I watch Value Line's "Median Dividend Yield" for all stocks paying dividends (front page of Summary and Index section). Here's what it looks like since the start of 1995:
The average value comes in at 2.06% while the median is 2.00%. Generally if it's above 2.2% it tends to be bullish and if it's below 1.8% it indicates bearishness. Right now it's 2.2% or just hanging on the bullish edge of the neutral range.
Note the 2008-09 extreme bullish signal. Markets can climb with a slight bearish signal but the worse it gets, the more likely there will be a correction. I think of stock yield as competing with short term interest rates. Right now ST rates are 1.84% so Value Line's median stock dividend yield competes successfully in that area.
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