There are many market similarities between present day and the late 1970s. The late 70s early 80s saw the conclusion of a long secular bull market in commodities, similar to the late stage bull market in commodities we are currently experiencing. One of the most overlooked comparisons between now and the 70s market is the relative outperformance of the NASDAQ. Prior to the emergence of the broad secular bull market in the early 1980s, the NASDAQ was well on its way as early as 1978. We are seeing a similar trend develop in the market today, however, the outperformance of the NASDAQ began immediately off of the market bottom in 2009.
I'm long the NASDAQ 100 Index through the QQQ. It is my favourite "buy it and forget about it" holding. I've been adding to it since 2006.
