I've been pretty bullish the past couple of years and things have gone well.
What worries me now is almost every "analyst/expert" out there has now become bullish on stocks and predicting 10-20% growth is stock for 2014.
When I start to see such consensus in one way or the other I become a bit cautious.
Finch also makes some good points about the Australian economy, terms of trade have decreased badly over the past year, we are seeing companies in manufacturing closing down or outsourcing overseas more, mining has taken a downturn, nothing seems to be getting done about improving productivity.
On the plus side lower interest rates have helped a bit with consumer and business confidence. USA is recovering and Euro must bottom eventually and start to slowly recover. What I am really watching is China and if sustained growth can continue there - if that falters then I can see Australia heading for a recession.
