the Yuppie Pig

Today's charts that I present are the exact reversals of what I posted on Friday, with a little extra to boot. Being fairly confident with at least a little negative follow through to the downside, end of day Friday, I expected to start to take in shorts this morning. But that was not to be. Instead, we got our trusty old government working overtime on a Sunday to drive the markets up causing me to give up all my gains from last week.

This market is like technical clockwork, making precise pit stops at key technical levels. Today, SPX 820. The next upside stop is 840, followed by 870. I'll have to reiterate this again, that it is around the 50 day EMA that acts as major resistance in bear markets, so I do expect the market to lose steam here, but it certainly has not shown signs of doing so yet.


Back at the resistance level. This has been a real yo-yo for me in the past week.


Way over extended, but if the market continues to power up...


Another over extended chart, at resistance


And more of the same.


Regardless of what happens, I'll be trimming shares and moving towards a neutral stance until we get signs of a break down. I'm still long shares of WMT, but clearly, this is not hedging against these types of moves. I'm glad that I'm still very much positive this year, but like other days, its days like this, of relative and absolute under performance that really irk me.