Seems more likely

Started tossing off longs accumulated at the summer lows and snugged stop loss up on remaining positions to the EMA 10 (basis SPX) for the rest. Theory all summer has been that the momentum off the March V bottom outweighed the usefulness of the standard technical indicators, particularly the oscillators. In other words, step on the gas on the buy signals and hold or stand aside on the sells. But "this time its different".... NYSI has been signaling this stall for several weeks now and is beginning to deteriorate further (AND showed no signs of life with any recent nominal new highs in the indices). Sentiment is extremely frothy. Weekly momentum indicators have seriously diverged and have begun to point lower. On my blog I've been advising this strategy of tossing out the longs on rallies while nibbling on shorts (particularly via ETFS to start). The remaining longs can easily be stopped out at a cross of the EMA 10. Why not toss all the longs? Respect the charts, always. Regardless of "gut" feels like "momentum surges". In other words, price remains above the EMA 10 which is above the EMA 55 on the daily so it's long until its wrong. And price is well above the 21 week MA on the weekly chart (so same idea: long). Bottom line. Highest likelihood of a tradable pullback we've had since March. Might as well trade it. Charts, as always, on my blog. Nice sunny day down east. Fall foliage stil excellent. PS... wonder if a Yankee win on Thursday will give us another pop up fly to short? mm

Thanks MM, enjoy your work, and you have been right.