STOP TRADING NOW

I guess that growling bear posted earlier was the picture of the day as the markets trade all over the map/chart but look to end the day closer to the lows than the highs. I still think the bottom is near but heck if I know if its today, tomorrow or next week or some other time.

Our old friend the VIX is up another 6% and is now back at the magic 110% of the 10 day SMA level and the VXO is even higher at 113% of the 10 day SMA. So buy signals abound, but this downtrend seems to be fairly relentless as anyone who has tried the longside has been gravely disappointed except of course for our friend Jim who mentioned in one of his columns today that he bought the lows and I quote:

"If I were back at my hedge fund at this moment, I would be scaling slowly of out stocks I bought at the nadir.

I just wish this rally had started later. There's way too much time to sell into it between now and the closing bell.

It is so tempting, isn't it? We will be oversold. We will get many bears in Wednesday's release of Chartcraft's Investors Intelligence survey.

I am glad I picked at stuff at the lows. But I am grateful to be able to get out of some losers and winners into any rally."


He of course doesn't mention that he also bought the highs over and over and over again. And Jim what happened to that bull market that started back on March 17 according to you?