That’s what today’s action on the markets reminds me of. Gap up, nothing but blue sky ahead, only to close off the highs, with so many sentiment indicators stretched by the Santa Claus Rally. I took my profits off the table today and now sit with 100% cash, but will continue to play select opportunities on the long side until my timing indicator turns. Every day it gets closer to giving a signal but it’s going to take 1-2 of decent selling pressure to get it to officially turn. Add in one day to confirm and we’re a good 3 days away at the minimum.
Don’t let my skepticism of this market sway you to start shorting because you do not want to be early. This market remains a buy I just know myself that taking profits today was the best thing for me.
Here is a screenshot of 6 stocks I like going forward that are acting like leaders.