No Man’s Land

April 28,1012

No Man’s Land…..That is precisely where we are now.

If you are a market timer, almost by definition, you are a trend follower.

Standing on the sideline , I respect the following:

1 – We are in a secular bear market,  so every up move is suspect.

2- This trendless market is especially dangerous for an ” impulser” such as I am.

3- We are in the May – November time frame which is likely to lure the ” its different this time ” crowd  and be enticing to me.

SPY has violated its 50 day moving average three times in the past 10 days, but has most recently clawed back above its 50 day moving average.  I’d be game for a short term let my winnings run ( to a point ) trade if SPY can take out its April high with conviction (  serious volume ) 

At that point , I probably would do the following –  SPY 40% of my capital and 10% each for FBT, XHB, IWF, IWO, QQQ,  DDM.

Now, all I need to do is wait and be ready to pounce !

Richard Gore aka Rich, Dick, RMG, …..Smiley from Woodlawn.

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