BULL TODAY BEAR YESTERDAY

The bull is running wild today with all the fed stuff (funny how yesterday it was bearish) and the SPY has ripped to over 130.6. I have sold just about a third of mine and will probably dump the rest into the balance of the afternoon. Why? well the 2 day RSI has now shot up to over 90 which is usually a pretty good sell signal and the VIX and VXO are plummeting with both now under their 10 day SMA. As a matter of fact the VXO is down almost 10% and the VIX is down over 6% on the day. BUY LOWER SELL HIGHER.

The market internals, which were a great tell early this morning have now ripped to 3,000 more winners than losers and the best performing sectors are the Reits, Cyclicals, Oils and Homies. The 10 year Bond yield has dripped down to 4.97% which is giving the homebuilders the late day lift.