We're in for a short-term rally. As in a rally that will last, at most, two or three weeks (in my opinion). For many charts, a few weeks of upside will be enough time to shape out a right shoulder to complete their head-and-shoulders patterns. I'm urging you to take profits in the coming weeks if you've got 'em because they won't be there for long.
In a month we'll forget that this rally ever existed because we'll have fallen so low. As much as bulls want to maintain their long term outlook, it just won't work with 2016's volatility. Oh, and let's not forget that most of the charts I'm seeing are a mess. Almost every single one of them. For example... Goldman Sachs (GS)? Awful. Apple (AAPL)? Terrible. 3M (MMM)? Don't get me started. Visa (V)? Vomit. Nike (NKE)? Just don't do it. My advice? Do yourself a favor and short Apple and 3M into earnings this Tuesday. I don't see a reason to be long either going into the quarter. If you have a reason, please let me know; but right now I see nothing. I'm calling for a retest of 1950 on the S&P 500 followed by a rollover to 1770. Just be patient -- I'll see you there.
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