Swine Flu

If half of Americans are going to get the Swine Flu and Half of Americans are currently underwater with their mortgages, how does this bull rally continue?

http://www.bloomberg.com/apps/news?pid=20601087&sid=a8_2nrwYD1kM

I admit, I sold my Oil long today just after Gold's selloff. 1. I had good gains 2. The selloff intrady in Gold and Equities spooked me. 3. I can't figure out why Gold is not breaking out.
Basicly, I got more bearish today. 4. Money is flowing into Treasuries again--this is a biggy.

I'm net short again. Sheesh, will i ever learn. I'm sure Goldman will end up being right about Oil, and that will be fine because i will be all over it short up at $85.

We Found Out the Result

It was another Buy the Dip this past week.

Now what?

I'm expecting profit taking going into Labor Day. People are going to need money for their vacations, economy still sucks, and the market has rallied 50%. In my opinion, only a fool would not take profits ahead of the holidays in this climate.

The real question is: what does the 3rd Quarter look like for earnings? Does the fake economy keep pushing up stocks with artificial earnings or has the smoke and mirrors ran its course? If we pass DOW 10,000, I'll probably mortgage the home to go short.

"Buyer Beware"...this should be a government mandated phrase posted on all stock transactions.

I'm Long oil
I'm Long C
I'm Long SRS
Holding lots of Cash

Buy the Dip or ready to Drip?

We find out how long this dip lasts very soon. Keep those stops tight. There haven't been too many dips on the is run up from March so watch for dip buyers. I'm still bear minded however.

Goldman Sachs Hedge Funds

Here is what they are doing:

Long Oil

Short Oil Refiners

Short U.S. Dollar

Short Yen

Short Japan

1100-1200 S&P is what they all say

Now that everyone is bullish, and I mean everyone (the bears are even buying), the correction is in sight.

IYR: $39-$40 area is great to enter short.

I don't think we will see 1100 on the S&P.

The dollar will find a near term bottom soon.

If the S&P gains another 7%, then back up the truck short because that will be a 50% up in the S&P since the lows.

Get short soon and walk away. Check your account in 2 months.