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The old game of Equities ain't the same no more. With the Fed guaranteeing the economy with an activist policy in 2012 the Equity markets have been up up and away. Any corrections have been short lived where Traders do not want to be caught short by being out of the Market. That is why the SP 500 climbed 40 points in 3 days this week. Also one thinks that there was some short covering in there as Traders were betting/hedging on a market at all time highs correcting because of economic and geopolitical woes. When the weakness was resolved and calmness restored bam we are right back at the old highs.

If you notice the SP 500 on Friday inter-day hit 2480 which if not an all time high was real close. It closed off the days high at apx 2474. The reason why there was some selling is that Traders didn't want the risk of being long on Equities over a holiday weekend where events might transpire. On Tuesday expect another retest of the 2480 level as there is momentum for pushing higher (unless something happens). The Equities do need to push through the 2480 level and close on new highs this coming week. Otherwise it will probably trade sideways with a downward bias of uncertainty. The FED guarntee keeps Equities buoyant which is out of sync with economic realities.

Equities have taken 5 years to climb to the rarefied air of all time highs. With some extended periods of time where it has trended sideways. Equities are pretty solid/stable (comfortable) at this level because of this. The caveat of course is the unpredictability of events.

At one point you could make Trades on the trading ranges/ Today with the continual upward bias you makes your money by holding. When a correction comes yo have to be very nimble to get out and step back in to catch the rerise or you miss the boat. Three days and you miss 40 SP 500 points...Years have gone by where the SP hasn't risen 40 points.

The outlying factor which I have to consider is the volatility/speed of the recent moves and what that might signify? That is the imponderable unknown at this time?