We have a possible set up for a tradable top that triggered today. This is the fifth potential topping set up we have seen this year. Prior to this year we were in a full fledged bull market and these set ups were not present. Do I trust it? Not sure yet. I wanted to make you aware primarily because this market is so dangerous right now. Our Central Banking Masters have really gummed up the works and the margin call that occurred in the oil complex may be coming to the the rest of the market soon. Each time we have had a set up occur, it has been wiped out but it did result in a minor correction with the Sept/Oct swoon being the most recent one. This market has been trying to set up all year for the top. The Fly mentioned that we have been in a stealth bear market. He is correct! The one thing that you need to understand is that each set up that is wiped out by the CB’s sets up faster and faster each time and requires more Herculean efforts and monetary candy from the CB’s.
At some point the market will one day ignore the monetary stimulus and then fear will set in and we will be witness to an epic margin call. I am not going to add shorts until we are off a bit from the highs. We should be a nearing a short term top that may develop into something more meaningful. Stay Tuned.If you enjoy the content at iBankCoin, please follow us on Twitter