Be Patient

A lot of traders want to sell the S&P for obvious reasons, and we agree with them. However, selling too early could induce a bit of pain.  While our upside objective remains 1339, it is possible to see a runup to the 1360 area if we get too many agreesive shorts in at the 1300 level.

We remain out of the gold, oil and commodity markets which continue weak but will bounce soon.  Investors seem to still want to be looking for a bottom in commodities so they can get long for the next runnup.  You know our perspective, the bubble has burst and the main focus should be on selling the next wild bounce.  The fact that there are so many buyers waiting to buy should mean that oil will bounce from somewhere above the magical $ 110 area.

7:57 AM cdt