I did exactly as I said I was going to do and that was to short the S&P 500 and the Small Cap. I was sitting really pretty about 11am but then the market began to rally. The last 20 minutes of the day she gave a bunch back and put me back in the money. Not much, $53 bucks, but I ‘m up. No matter what happens tomorrow I will close both positions because I do not want to hold it over the weekend. The market has been to stupid for such a move. Now looking at the S&P 500 daily chart price is still well below the 50 day ma and the 50 day is falling. I drew the Bear Flag so you could see what I see and if price starts to fall out the bottom, lookout. Well Yesterday a new lower pivot high was created and today it was confirmed because price continued down. We also fell completely through the Bear Flag so the odds are heavily favored, but not guaranteed that price will continue lower short term. I expect that we will test $1289 and then fall down to the next level of $1248. This is in a perfect world but sometimes you have to play the odds and the odds are this is going to happen. So stay out of the C and S funds for now and Bonds once again took off to higher levels. it makes it easy at this point just to stand in the G and watch the show and not have any heartburn.
Below are the closing numbers for May and Damn, they are ugly. I think I heard someone say on TV that this may was the worst May in 2 years.
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