Stock Option Investment Advice

Some Market Parameters to Consider Heading into 2018

It is year-end, and time to reflect on this year’s market activity. It certainly has been a strong up trending year for equities. And with all the very positive news currently, there is room for more gains in 2018. However, markets do not just go up forever. The markets are extended without a normal set back of 10% in some time. Is it time to be cautious? While at the library this weekend, I looked through the Value Line Survey. They had a table of some key market and economic parameters for the present vs. historical highs and lows. Some that caught my attention are listed below: Parameter                Current              Last Top            Last Low PE on VL stocks        20.3                    19.6                   14.3 Dividend Yield VL      1.9                       2.0                     4.0 Prime Rate                4.5                       4.3                     3.3 AAA Corp. Bonds      3.5                       3.5                     5.5 Short Interest/Vol      16.8                     17.9                    8.6 As you can see most of the…