“Either the market is going to correct more meaningfully now or we have a shallow correction and a continuously rising market until July or August,”. If stocks don’t pullback soon, he says we risk a repeat of 1987 when stocks rallied 40% into summer only to collapse 41% in 2 months. 

“In March of 2009 everything looked horrible, now nobody can find a reason why stocks could go down,” “We ask that you should buy stocks when everything looks horrible, you shouldn’t rush to buy them when everything looks perfect.””If you have 100% of your money in equities and you just bought them now, maybe you should reassess your position,”

Ed Note: Faber makes several powerful points in the 5 minute video above. Faber begins speaking at the 18 second mark. 

Here’s the 1987 chart – you can see how monumental that 508 point (22.6%) 1987 drop was: