I’m keeping it short tonight.
The market pushed ever higher today, but I’m not so sure the bulls can call it a victory just yet.
Yes, we are watching lifetime highs in the IWM, but we are also hitting short-term overbought readings with an enormous unclosed gap underneath…a recipe for bearish success.
I still think we close the gap which would take us back down to the $165 level on SPY. But, I’m not stepping out in front of this train just yet. I have several positions well on their way to expiring worthless which means a max profit is coming our way. But again, until the debacle passes I really am hesitant to add a risk-defined position even though everything tells me we are in the latter stages of this short-term rally.
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Kindest,
Andy
