The Wrap 8/23/11

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Well the face ripper of a short covering rally came today. We have some short exposure and we made a couple of long side trades on the chat room, but at the end of the day the bulls ruled the day.

I am still extremely bearish on this tape, but the bulls could run it for a little longer. No sugar coating, we will get stopped if that happens. The market was a oversold, but I expect nothing from Bernanke on Friday other than the announcement that they will buy longer duration treasuries. I am still more interested short than long, because that’s what the charts are telling me for now. We must be careful of a major disappointment come Friday. We’ll see.

Please check the P&L for any adjustments or deletions.

See you tomorrow