The Pratfall Awaits

By -

I honestly love this market.

Wait, Tim, what? All you have is SHORT positions, the NQ is up triple digits, every single equity futures is bright green, and every tidbit of news out there is bullish. What’s wrong with you??

Oh, plenty is wrong with me, but I still love this market. Every thing about it feels right.

To be sure, I’m pleased to have backed off yesterday. I’ve got a ton of cash and much less exposure than I did 24 hours ago. But, believe you, me, I’m going to be going in with guns a-blazin’ later today, if I can get the prices I want.

The hodgepodge of good news (much of it dreamed up out of whole cloth by China for the support of their own devastated bourses) has sent us flying to the same peak as the “Positive Developments” rally from last week.

I take things on a chart by chart basis, however. I am in no big positions at all, and I’ve got dozens of candidates for short-sales in my Bear Pen watch list. I suggest keeping your eye on gold today to see if it can brush itself off and start climbing again.

There is little doubt my portfolio screen will be a sea of intraday losses at the opening bell, and crazy as it sounds, I welcome those losses with open arms. Because, in the end, we are going to win this war after losing many, many small battles.