Devious Markets

I never cease to be amazed by how devious the market can be. Just two weeks ago I'm calling for an oversold bounce (just like everyone else) and expect that bounce to bring us back up to the 50 day moving average. Well, it looks like we got just that. I'm showing the S&P 500, but the same can be shown for all of the other averages. We have bounced and then failed after hitting the 50 day exponential averages.

So did I use the bounce to get short like I said I would? Of course not. Now I'll probably end up regretting it, but because all of the major leaders have bounced back with a vengeance and look to start making new highs again, I have actually covered my shorts and picked up some more long positions. It is sickening.

Good luck out there. This market is extremely difficult right now.