I'm going to forego a video update tonight and give a quick overview of the indexes the old-fashioned way (incidentally, thank you to the handful of folks who did click Donate, prompted from last night's video; it is much appreciated).
Let me start with the closest I'm going to come to a "bullish" scenario (which is why I bought a very big slug of SPY after the close………just in case). This scenario provides for a bounce at this point to approximately the highest levels seen earlier in December. Below is the $HUI analog to illustrate this. Such a push would be the last bout of strength before big-time weakness kicked in.
Buttressing this notion of a final little burst is the Euro, which has room to push up to, oh, let's say, 1.32 or thereabouts, after which time it would poop its Pampers.
So the direction of the market is either (a) down now or (b) down later, after another annoying little push higher. No matter what, the party will start once we crack beneath the low established from the ridiculous November 30th Massive Central Bank Intervention, which is at about 1180 on the ES.
I can't leave you without one outright bearish chart, which is the Dow 30, shown below. In this instance, the double-top at about 12,250 (whose analog from 2008 is circled on the left side) pretty much marks the end of the game for our bullish friends.
As for my own positioning, I have continued to add small short positions day after day, amassing 93 different little positions now. On the other side of this is my one big-ass SPY long, which is, for me, a necessary sleep aid.
And, with that, I bid you good night and look forward to seeing you Friday morning. Just ten trading days left this year, Slopers!
