Market Outlook -I'm becoming cautious

The market has continued to climb since the first of the year.  The climb has been steady with no significant corrections.  Newspapers are commenting that the percentage increase since the lows of last march is the greatest since the great depression of the 30s.  I have been gradually selling to achieve about a 30% cash position.  I am generally retaining my holdings in precious metals and energy related equities.

I see too many wild cards that do not seem to have been discounted.  One is the instability in the middle east and the resulting increase in oil prices.  Another is political posturing and gamesmanship in Washington and a willingness to wreck the economy in the name of saving the country.

The relevant stock market adage is that when Baron Rothschild was asked how he made his fortune, his answer was, "by selling too soon".

My viewpoint is that of a person who is retired and living off his savings.  If I was saving for retirement ten years from now,  I would continue dollar averaging without hesitation.