Today we saw the advance continue and the SP500 joined the round number crowd by closing above the 1000 level. However, volume was average to below average on most indexes. I am still looking for a pullback into August 14, but the closer we get to that date without one, the less the decline is likely to be.
The action today is why I said I would not be selling out of individual stock positions even though I sold two index positions. I want to maintain exposure in case I am wrong about the pullback. It is always possible that this thing could keep going and going as the expected 5th wave becomes like the proverbial carrot on a stick.
I was stopped out of the DTO today, but did you notice how gold failed to move even though the Dollar made a new closing low for its decline? Gold may have one more push before it rolls over, but then again, the rally may have ended today. I am not convinced the bullish case for Oil that I presented in an earlier post is the correct one, and I am not going to go long Oil via the DXO without some consolidation.
The financials are performing well and I remain long the UYG. JPM made a rally closing high today. It is now above its long term median line and has solid support. My target is 50.63 or higher.
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