Market view

Markets was down by a few points yesterday and it was another slowly day. No important economic data this week , so I guess we wont see much action before next week. But overall what I found very very interesting is on small caps and QQQQ.

There is a 70% chance that the markets already have topped and the long waited correction is about to begin - as indicated before we should begin the correction by mid February , which is around here and next week.

But remember - the short term trend remains UP and bulls have the staff until bears shows up more aggressive. Thats the time when you wanna short markets big time.

So to be more specific - if SPX moves BELOW 1306 area - thats a confirmation that the short term trend have reversed from up to down. I think if we move below 1310 I am going to add some shorts. Watch the small caps - cause if they break down first SPX should follow.

The thing with small caps and QQQQ is that we made a so called BEARISH harami yesterday and if we CLOSE red or go RED today , that would confirm the pattern and reversal.....so today is critical - if we close red or move below the SPX targets - I will add big to shorts. But until then trend is still up.

Best of luck!