STOCK markets across the world are on the edge of a devastating crash which could trigger a new economic meltdown, according to a key technical indicator.
In a flashing red warning, share valuations have soared to their second-highest ever level, suggesting that many stock investments are over-bought and could be in bubble territory.
The only other time indicators were at this level was before the dot com crash at the turn of the millennium.
Experts are now worried that history is about to repeat itself.
It comes after stock markets in both the US and Britain have continually topped their highest ever levels in recent months.
American’s top stock indices the Dow Jones and S&P 500 are up a staggering 20 per cent and 16 per cent respectively over the past 12 months, while Britain’s FTSE 100 has surged as much as 15 per cent over the past 12 months.