Our view is to sell the early rally and buy weakness, keeping in mind what's happened on the close the last two days.
Is it possible to see some profit-taking in late December? Sure it is, but we just do not see this train coming off the tracks anytime soon.
While the word "bubble" has been thrown around a lot lately, the idea is really not that far out.
After closing higher 12 out of the last 15 sessions and rallying 122 handles since the Oct. 9 low of 1640, it feels like it may be rest time for the S&P.
Unless we get a few bad economic reports or weak earnings it should be status quo until the Fed headlines hit the tape.
Sell the early rally and buy weakness. It doesn't seem like the bulls are tired yet.
The main question today is, has the bus gotten too full on the upside? We think so.
While we expect higher prices, we cannot rule out a pullback this week before the bull market resumes.
We lean to selling the early rally and buying weakness, but we do think we will see some type of pullback.