The stock market, sense and sensibility

Beginners or even smaller retail investors who are so eager to profit from the strengthening market  have been pouring in all their hard toiled savings or salary into the stock market; and these group of people relying heavily on stock market tips.   More educated retail investors have been selling or stayed on the sideline hoping for the big correction to come.   Technicalist have been twirling charts and have burned many midnight candles to predict how each chart would be able to offer their next pattern, more of or for short holdings.   Fundamentalist are using both their micro and macro knowledge to deep dive the company and economy to foretell on investible funds of it being able to generate good profits, more of or for long holdings.  Decision, and more decisions to be made; so, what will it be?  Retail investors who have their own time and target, can still decide whether to get in into stock market or not, which has now gained strength.   Right decision, then there is good realized profits to be made.  Incorrect decision, then it ends up staring at the paper loss for days, weeks, months and years!    

How about institutional players?  Of late, they too have been selling or stayed on the sideline hoping for the big correction to come.  These group of investors have bigger target to achieve.  With the current market now quite bullish, they will need to get into the stock market in a big way or else be left behind if the market continues upward trend.  They will be wooing cash rich investors to park their funds with them and promising them handsome returns.  They will too,  coaxing small retail investors to buy into unit trusts and other investment related products on a projected returns.  However, once the stock market going downhill then weaker investment company could collapse, unit trust price will be lowered, more margin calls for topping up and all other negatives; and hence the end consumer especially the small retail investors and retirees will suffer most.  On the contrary, when the stock market keeps a bullish momentum for days and weeks (and months) then the end consumers will be tracing up so-called best investment company to park their funds for a so-called worry-free returns.

Are happy days really have arrived and continuing?   Or a bull trap?  Back to decision, more decisions to be made; again!