The stock market is running on hopes and dreams rather than fundamentals. Valuation is at the extreme with market internals being negative and hugely diverging. Despite the decline in forward earnings forecast, equity markets are grinding higher. The growth in the market caps are far outpacing value added which creates bubble environment. Very small number of companies are joining the new highs in the S&P 500 and 40% of stocks in the broader indices are below their respective 200 day moving averages. Melt up continues for the rest 2019 but 2020 could be a rude awakening.