There's no shortage of pundits who shot to fame on the back of a bold, contrarian call only to come up empty afterwards. Meredith Whitney and Nuriel Rubini are just two pundits who called the meltdown while most others were oblivious. Too bad they've fared less well lately.
Here's a short answer for those who wonder what could transport the market still higher: the economy. The unexpected and sudden advance that started last September foresaw favorable economic news. The continuing rebound will now propel the market to even headier levels.
A supposed truism on Wall Street is that betting against the crowd is always a wise move. And these days, the crowd is decidedly bullish. Yes, that's often a sign that the end is near. But right now, a good argument can be made that things will still get better.
A rising stock market next year is becoming an article of faith. But beneath the bullish sheen of several positive reports, many other key indicators are bearish or neutral. Investors might want to balance the widespread confidence by looking at these eight.
Although Japan's stock market has been weak for the last 20 years, there are signs that a shift may be under way that could transform that nation into the gateway to Asia's emerging-market consumers. For patient investors looking for a contrarian play with huge upside potential, it's time to re-examine Japan.
For a host of reasons, when the dollar spikes, stocks drop, and when the dollar falls, stocks soar. Right now, with dollar sentiment reaching maximum bearishness, contrarians are preparing for the next shift. If the dollar rises again, stocks could reverse.
If you're tired of watching your stocks go up and down without making any firm gains, consider a contrarian investment strategy. It's riskier, but the payoff can be big. Contrarian fund manager Don Hodges offers three stock picks for 2011.
Stiff competition and a lack of a flagship high-end phone have stymied Nokia's sales growth and sent its shares plummeting. One investor says that now makes shares of Nokia a buy.