Editor's Note: Good evening. I suggest we tread lightly heading and protect capital into Friday's GDP report. This is sure to be a market mover and may give us a better sense of whether this market will breakout higher or head lower. In the mean time we have open positions on both sides of the market to take advantage of short term spikes higher or lower. I may have a new play to release tomorrow and will definitely have two or three more to release in the weekend newsletter. I have listed a bearish set-up below that may make it into the model portfolio.

Short XLU (Utilities ETF): XLU is approaching its December 2009 highs which will present a double top set-up. Utilities tend to oscillate in fairly reliable channels once they are established and this will present a good countertrend set-up after a strong +10% gain in the sector over the past month. I like entries anywhere from $31.20 to $31.75 with a stop over the December highs of $32.08.