By Sell Puts
IF you look at how the current markets correlate compared to historical data you will notice we are primarily out of whack. We have gold down & stocks up, the commodities we eat are up yet the vix is has risen since Friday, down today. Believe me i know when things are acting odd, and things are acting odd. Will we have a massive snap back into reality, probably. When? no idea.
This morning pending home sales were released, up 6.7% in April. My guess shows we are still declining in sales, but a few key areas such as south Florida, or other areas severely depressed will probably see a small upturn skewing the market. I do not see this as anything to jump around about, Florida real estate, specifically south Florida, should not be used a bell weather for the overall market.
If the market shows some signs of signs of life in the AM which it is, we are probably in for another up day. Its getting to the point where you cannot fight this tape, i am mentally fighting it but i currently not short. Ill play with UYG/FAS as trading vehicles today.
