Some of my readers will recognize my previous work from the Reversion to the Unified Mean (RUM) Wave blog. I wrote it in relative anonymity for a couple years. That work can now be found here.
One day, a trend does not make...but
The old adage that "one day, a trend does not make" rang loudly in my head as I drove home today listening to "Fast Money" on CNBC. However, there was something different in the tones of the commentators' voices today, they were nervous. Usually they have at least a few bullish folks saying "I'm buying the dips here" or something along those lines. Today's broadcast was all doom and gloom, talking about how the internals of the market were failing. It all seemed kind of group-thinkish to me, but if these people are my only window to the big money I'm wondering if the big money is having the same thoughts that my Fast Money friends were.
The other bloggers I read on a nightly basis are also in agreement that things are about to get nasty. Not end-of-days nasty, but a 5-7% pull back. I'll buy it, I've been calling for it since the first of they year, why would I stop now?
Here are my scores:
The RumWave score is really low, so I'm expecting some kind of bounce tomorrow. If we don't get it I'll be a little more concerned about our good friend, the Honeybadger.
GOOD LUCK TOMORROW!