The S&P 500 Is Flashing a Warning Signal Not Seen in Decades. Here's What History Says Comes Next.
Investors may want to prepare for volatility.
Overview
The last few years have proven that the stock market is incredibly resilient. Despite no shortage of headwinds -- from stubborn inflation to a slew of tariffs to the war in Iran -- the S&P 500 (SNPINDEX: ^GSPC), Nasdaq Composite (NASDAQINDEX: ^IXIC), and Dow Jones Industrial Average (DJINDICES: ^DJI) have all reached record highs after record highs.
If history has anything to say about it, however, this incredible bull run may be reaching a dangerous new threshold.
Details
Stock valuations are soaring, and while that's not necessarily a bad thing, it can push the market into bubble territory. Right now, the S&P 500 is repeating a pattern last seen during the dot-com bubble in the early 2000s, and history suggests investors should start preparing for volatility.
Source
Originally published at www.fool.com.