The Solar System Is Bullish

Dow: 0.00…
Nasdaq: +21.81… S&P: +4.83…

Volatility (VIX) shorts hit a record as hedge funds (dumb money usually) are betting that the complacency in the markets will continue. Net-short speculative VIX bets have surpassed 200k contracts for the first time on record.

The Dow was unchanged today at 0.00. That rarely happens. It means nothing, I just thought it was cool.

The hedgies could easily be right on this VIX call, but it can also be a massive contrary indicator. We will probably find out very soon if this market runs like a scalded monkey to the upside or if we get one of those patented 5% pullbacks.

I don’t pick tops, but I do get less long when I think we may be extended.

However, the bulls are still very much in charge here, and over the last month, we’ve seen improvement in domestic and global economic numbers.

Gold and silver have been heavy lately, and gold is trying really hard to hold that very important $1450 support level. This morning it breached that level and went down to the $1447 level, but then reversed to run back up to $1459. If gold breaks and closes below that 1450 level, then the sector should go lower. This will also probably mean that stocks have also decided to run higher.

Sunday watchlist names CC, LVGO, and BHVN still look good.

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