I was tested today.
My index finger hovered over the ‘buy’ button on U.S. stocks. I was very tempted to throw all caution to the wind and buy every stock I could get my hands on. This moment of temptation, no joke, arrived at the highs of the day.
But I backed away from the cliff.
I satisfied my bullish itch, with a small position, long AUD/JPY. We’ll see what happens there.
However, I am noticing that downward momentum is being lost. The excitement and thrill of the bulls being eviscerated is fading with time. I am still bearish on U.S. equities. At least for the moment. But do not be surprised if I am soon laughing at the bears as I go on a buying frenzy …