Last week I have warned of what would happen to the S&P 500 if the EUR/USD dollar failed to breakout (Click here !) I think that we might have reached the top of this "monster bear market rally" (cyclical bull market within a secular bear market) called it whatever you like. One main observation is that The US indicies have failed two weeks in a row to break above major fibonacci levels. Nasdaq (.500 ret) Dow Jones & SP 500 (.382ret). I remain short the markets with positions in FXP(double short China),FAZ(Triple short financials) and SDS(double short S&P 500). The pullback i was looking for in oil & commodities USO and DBC are coming to fruition (click here!) . Let's see if they can produce a bounce this week ! I'll be out this morning... will make a new post around noon time NY time !! Stay tuned .. it's going to be an interesting week !
