Time to reboot

Last week I sold all my current positions and went 100% cash. Why? First of all, I'm tired of getting whipsawed by the market so I locked in my gains, however small they were after the fall from 4400 and wrote off my loss.

As to my "fearless forecast", ACR and ORE hit my targets while JGS and DGTL disappointed me. As for ALI, I'm still bullish about it even if it hits 15, but what it should not cross is its long-term uptrend line since March 2009.

Right now I'm just waiting the market to bottom and I think it will happen this week. Its even starting to happen already. Today's pre-close was very interesting because it was a forced close - and mind you - a coordinated forced close DOWN. This is exactly but opposite of, what happened during September when index issues ALI and SM were being closed too high. Today, DBP-Daiwa (and Deutsche I think) closed ALI, SM, SMPH, JFC, BPI gap down at the last minute! I was tracking SM retracing 530-540-550 then at the close I thought it was a breakout at 575 only to realize it was 475 and the index breached below 4000 when for the entire day it never touched 4000. Tomorrow will easily be an up day and if we cross 4100 by Friday, I think we have found bottom.

My current positions are very small: a few CEB while waiting for it to break out of the triangle, some MUSX and SOC for speculation. I'll pick up ALI once I have confirmed its third and lowest bottom and its triple bullish divergence is still intact. I think I'll also get some DGTL once it has confirmed that it won't breach its shallow uptrend line since December 2008. Lastly, I'm getting ACR as close to 1.40 as possible.

This is not yet over.