Not much for the bulls to hang their hat on, although at least the dislocations of the morning reverted back toward the mean. Of course, that type of intraday volatility in this environment of repeated dislocations probably isn't much of a bullish indicator either.
Remember what I call the J Quad Q crash trade? I'm having dinner with the one and only Mr. James Altucher tonight, and we will discuss what the current setup for that trade means. Will the streak end?
There's just not much reason to get aggressively long yet. There are so many bulls who are scared and permabears who are now long that I continue to be uncomfortable about the near-term long-side setup. Thus, I completed yet another day of no trades. And that's OK.
P.S. Will you be there when Cramer makes his next move?
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Cody Willard Blog Anybody Selling? 6/6/2006 1:35 PM EDT Given the tone, it's surprising how quiet this group has been.
Cody Willard Blog A Bull Market in Ugliness 6/6/2006 12:23 PM EDT Speculation and momentum cut both ways.
Cody Willard Blog Strange Days Indeed 6/6/2006 8:05 AM EDT The dislocations continue, and the manner is anything but ordinary.
Cody Willard is the manager of a hedge fund, author of The Telecom Connection, a newsletter published by TheStreet.com and a contributor to the Financial Times and VON Magazine. He is also a regular guest on CNBC's Kudlow & Company and an adjunct professor at Seton Hall.
He earned a bachelor's degree in economics at the University of New Mexico.
Willard appreciates your feedback -- click here to send him an email.
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