I'm having a hard time believing this market is going to do just what everyone expects (pull back 5-10% and then spring back up). Its been correcting itself all the way up. The rebel in me says there's more upside. I know the indicators are all flashing, and I may be totally wrong on this (I hope not, I went to G today). I feel the Wall St. manipulators are quite hip to the saavy traders and enjoy making fools out of them, as has been happening lately.
The question is...are the "savvy traders" in, or out. Exiting risk after this bullish leg could certainly be considered "savvy".
Bold added for emphasis. We've had little to no BIG up days. We've had a number of smaller down days to, sort-of, correct as we go. Last year the market was directionless and the gain was all in volatility. If anyone wanted to "shake things up" an unexpectedly long break from volatility would certainly be a way to do it.
The fact that you call your bullish side a "rebel" is telling. To me, the vast number of people are still afraid of the bearish monster, people are afraid of what it will take to break Dow 13,000, mostly people are afraid. Technical analysis largely says; Be Afraid!
Meanwhile unemployment and jobless claims are declining, every US city I visit has some kind of construction on every 2nd or 3rd block, housing is stabilized and, in places, showing signs of recovery, my inbox gets more and more job opportunities every week and a headhunter called me last night. The US, despite all it's shortcomings, has become increasingly stable while Europe is mired uncertainty over it's monetary union.
I'm going with the rebel. I'm certainly not a savvy trader, but I'm staying in.
