Time to Stay Away

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Sell in May and go away!!!

I don’t see any reason to stick around LONG in this market. After undercutting the lows on Friday, reversing an attempted rally, there aren’t enough buyers willing enough to bid up stocks. Sellers are just far too quick to pull the trigger and not demand a premium. My suggestion is to go out and read the classics. William O’Neil, Boik, “The Perfect Speculator”, Jesse Livermore…

I do not view this market as an “opportunity” to buy. It makes no logical sense to risk hard earn capital. “The Perfect Speculator” covers this and repeats this. We need a confirmed rally in order to get great buying opportunities. In the meantime, keep a watch list of all stocks that are churning out earnings/sales at a better than 25% clip…watch for new industry leaders. If you do this, we’ll be able to spot market leaders just as the market confirms its rally…then its go time. Until then, patience my young apprentices.

MktSpec