After the market bottomed in March of 2009 I was in the same camp as the many who thought the economy would never recover. Who thought the actions of the government, the FED were too little too late. I was shorting the spikes to the upside. The problem was these spikes kept going. Prices did not pull back.
Half way through 2010, after fighting countless unexplainable rips to the upside I came to the understanding that this stock market was one you were either long and made money , or short and lost money. It was that simple.
Those perma- bears who remain short to this day, I give them all the credit in the world. Anyone who has been short this market since the lows in 2009 and is still around to write about it? You've got my respect.
That bear in me still is alive and at some point it will be time to go short this market. Is this the time?
I highlighted it last night. Amid the rally yesterday I pointed to key support levels. Clearly the $IWM $120 level has bee tested one too many time recently. As a bull I would like to see some separation. But its not happening. Pre market we are nearing $120 again. It may be time to don our pull back hats.
My best trading exists in a market that is falling. I don't care much for rising markets, but I am also not dumb enough to fight a relentless uptrend.
If support levels I highlighted last night give way I will be positioning for our first correction since the industrial revolution.
Stay tuned!