The US Market acros the board has now closed UP TEN WEEKS IN A ROW. Just incredible. Again this goes to show why the things and people change but the market stays the same. Market continues to fool the majority and it has been around alot longer than we have. After being bearish for the 4th quarter of 2018 and calling the bounce on Christmas Eve, it is safe to safe that the extension of this rally I have missed. Even with gold rocketing higher the first two months of the year, the equity markets just grinded higher. Now we are above the 200 day in all major categories.
At this point, the easy money long has been made off of the December lows. Now we are extended and at the top end of the range which means you should not be initiating longs here. The high probably winning longs should have been initiated at the beginning of the year, not the beginning of March. So what do we do now?
Well we wait and see. We need more data. There is a chance that we continue to grind and that results in a puke upwards. There is also a possibility that we pullback and chop around the 200 day. It is safe to say the bears backs are against the wall and need to make a stand soon. But I am not sure it will be enough anymore. Definitely a spot to initiate shorts, but the market just won’t go down. Do we buy? Then you are just chasing. I think we wait for more data.