The Three Day McCain Rally

All of our technical indicators for the S&P 500 fell in place mid-day on Friday for this last market bounce to 1339.  Oil and gold are on the defensive today and helping the stocks to rally.   We are 85 percent net long over our total portfolio coming in to the month,  but we don’t plan to stay that way for more than a few days.  If this is, as some say, “The McCain rally”, it will be short-lived for many reasons, mainly technical. 

In our opinion the oil market decline will go a lot further over the next year due to a combination of weak consumer demand and hyped positioning at the highs.

8:03 AM CDT