Stan,
I was referring to the market as a a whole being potentially frothy. I am certainly not advocating you sell AMZN or any particular stock. The idea behind the original post is to advocate caution. When there is a pullback, as I mentioned earlier, the baby gets thrown out with the bathwater. I realize that investors cannot stay invested if they continuously worry about a pullback. Morgan Housel has illustrated with his study of the stock market history that pullbacks are inevitable and part and parcel of the game. I personally and honestly believe that there have been very few instances in history when stocks have traded at a higher multiple than today. I ignore periods when P/E expanded due to collapse in earnings. Some of the recent increase in P/E has infact happened because S&P earnings peaked in Sep-2014. Since then I believe the drop in earnings has been due to strengthening US$ and drop in oil prices. Even after you adjust for the drop in earnings i.e use peak earnings from Sep-2014, the lower P/E is still at the top end of the range and the only time in history when I found this range was exceeded was between Jun-1997 and Mar-2002 (out of a total of 62 years I looked at independently of the multpl.com )
I understand that most of the folks here rejected my suggestion. You posted a direct question at me which is why I was compelled to respond. Having said that, I got out what I was looking from this thread. I got the pulse of the participants. I hope some of you benefited a little from my post here.
Thanks
Huddaman