Is the Market Dangerously Overpriced? What Can You do Right Now?

All right.

So let's let's talk about what you just mentioned.

Just when we think that the market can't go any higher.

It does.

And there's rumors of peace talks and geopolitical situations.

The market goes up.

SpaceX, IPO, the market goes up.

The stock market, is it dangerously overpriced right now, your opinion?

Well, in my opinion, and I'm relying on an indicator right here, which is a popular indicator.

It's called the Shiller or the Cape Shiller price to earnings ratio.

And Morgan, right now, it's flashing red.

I mean, if you're planning for retirement or already living on your nest egg, this Cape Shiller index is... been a proven financial early warning system, and right now it's signaling very high risk.

In fact, according to the index, the market has entered an overvalued zone Listen to this.

I hate saying this.

I don't know what's going to happen, but the signal is saying that what could happen could permanently damage your lifestyle if you leave your money left unmanaged and you don't address these concerns and make proactive moves.

Well, and I'm just looking at the numbers that you're looking at, and it's absolutely amazing.

The historical average is 17, right?

Well, yes, that's what happens.

So what the index is saying is that right now the market is dangerously overpriced.

You see, when the market is healthy and you should get in and invest like a normal person, the historical average has been 17.

Okay.

Where are we now? Right now we're at 41.

41.

That's over double the average.

And that's in the 98th largest percentile of all time.