I would not like to short this market. Yes. It is bearish. No doubt about that and I will not even spend time trying to show it is bearish. It is and you know that well. But I won't like to short. I don't like to short oversold markets. And it is oversold.
If anything, I would like to buy - provided I have a CUE 360 buy setup. It may not be easy to get such setups right now. But I am not in a hurry. Are you?
Why do I not want to short?
UUP (dollar index ETF) is holding steady and if anything, it is about to break the triangle pattern to the downside. That may help the stock market. Of course, whether it helps or not I can see that from my market analysis.
The other major reason I do not want to short is the oversold nature across the board in CUE Market Breadth charts when you look a the 3-month New High-Low as well as the % of stocks above 50 DMA. Both are in extremely oversold conditions. And that is true for Total View, true for NYSE and NASDA, and also true for all the individual major indexes.
The above analyses are as of the weekend. And today is Monday. Now is about 11:45 AM EST. CUE Edge's Bucket Analysis is nearing (not there yet which will be when 30-40% of stocks are the lowest bucket). That is also a reason for me not to short at the moment. Also, there are slightly more greens in the sector-industry-stock breadth as of now compared to Friday. That is not enough sign to buy. But I am happy to wait for more signals.
Other than waiting for the real-time signals from CUE Edge (green pies across the sectors-industries-stocks) about when it is time to buy, I am also aware of the Phoenix signal that came in the CUE Market Breadth Total View on Friday. If that is followed by an Eureka or Accumulation count, I will look to buy.
There are many stocks with great fundamentals near a lucrative buy point (e.g. at a Price Extreme Low and even at Jump/Thrust Low). But they are not giving CUE 360 buy signal yet. I am going to patiently wait for that. And if/when that comes, I will be ready to pull the trigger and buy the stocks or execute appropriate bullish options strategies.