With the three-day rally and everything that is happening globally there is event risk.
The markets are out of character for this time of year. August and September are the two weakest months of the year and the Nasdaq closed at a new high. The Dow is lagging with a close 170 points below its prior high. We are either setting up for a contrarian blowout in September or reality is going to return next week with a double top in the indexes.
With these gains on low volume and contrary to the seasonal norms, I have to question whether they will stick. Friday's volume should be the lowest for the week and given the three-day rally there could be some fear of holiday weekend event risk. There is no rush to add positions until we see what happens at this critical level.
NEW BULLISH Plays
No New Bullish Plays
NEW BEARISH Plays
No New Bearish Plays