Cantor Fitzgerald: Market Participation Is Flagging, Setting Up For Top (Peter Cecchini)

Cantor Fitzgerald's Peter Cecchini told CNBC on November 21, 2014 (last Friday) that he thinks the market is setting up for a top because: 1) market "participation is flagging" (market breadth, or the advance/decline line in this case, is diverging with price); 2) the "very steep skew is associated with market tops" (volatility); 3) we're at very important resistance levels on charts (technicals); and 4) he's not bullish on earnings next year and believes profit margins, which are near historical highs (10%), will revert to the mean.

I embedded the CNBC video after the jump and linked to related posts.

Recent related posts:
*S&P 500 vs. Forward 12-Month EPS Estimate (FactSet Charts)

*The S&P vs. Previous Extremes

*Valuation Warning: The S&P 500 Is In A Bubble

*USAA's Wasif Latif: European Stocks More Attractive Than U.S. Stocks On Relative Value Basis, Need Policy Catalyst
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