Too much of a good thing.

Yesterday was an interesting day. Energy in particular took it on the chin as there is so far no winter to speak of in the Northeastern US, as well as mild winters in several other parts of the globe. The rest of the market traded kinda all over the place. Frankly, I think an important element was that so many people took time off in December combined with a 4 day closure of the market and a full moon leading to some excess pent up energy that needed to be worked off.

But in general, there was a lot of bullishness coming into 2007, and that is often a contrarian indicator.

New York Magazine cover: Jim Cramer's Runaway Bull. (see top right headline)

Article: Lucky 2007.

USAToday: Ten Reasons the S&P 500 Could Make a New High in 2007.

12 Top Wall Street Analysts Agree on Rally for 2007.

The writer of the USAToday article comes to his senses the next day with this article:

Up, up, up: Beware, because no one sees a bear in 2007.