Quote of the Day: The High-Five Effect

Bullish stock investors are feeling invincible.

For example, I recently received a taunting email from an investor who is 100% convinced that the Dow Jones Industrial Average DJIA, +0.99%  will hit 18,000 by January because author and professor Jeremy Seigel said so. This investor advised me to buy mutual funds or stocks so that I do not “miss out on the rally that is certain to come.” Really? A 5% gain is possible but hardly certain.

At market tops, it is common to see what I call the “high-five effect” — that is, investors giving high-fives to each other because they are making so much paper money. It’s happening now. I’m also suspicious when amateurs come out of the woodwork to insult other investors.

This is from Marketwatch columnist Michael Sincere. This looks like a resounding narrative of today’s dominant sentiment.