Update: All my shorts are gone this morning. We had a 288 pt break over the last 6 trading sessions.
While I certainly didn’t sell the top or buy the low, we took the meat out of the position.
My basic idea on the stocks has not changed. Sell these high levels, but be ready to head for the exits post haste.
Dec Dow future have tested 13,500 10 times in the last 13 trading days. 13,576, 13, 588 equate to me to 13,600.
I ‘d once again be scaling in shorts here. One caveat, Its the first of the month , first day of the 4th quarter. That means this is a money flow trade. When the funds are done buying to re-allocate their $, then we return to fundamentals.
We may very well climb a wall of worry through the next quarter, regardless of who wins Presidency.
Remember, the market discounts the future, given all the activity of all bulls and all bears squaring off in the market.
Sell this rally, but be nimble.
More on the grains later or tomorrow.
CER