This post was just published on ZYX Short Change Alert.
As the Santa Claus rally continues the stock market is getting very overbought in the very short-term. Early next year S&P 500 may head towards 2000 but sooner or later a major correction is in the cards. Earnings momentum continues to decelerate and the market is fully valued. Markets often overshoot and for this reason only a 10% tranche should be initiated or added at this time. The short zone in SPY is $183.60 to $185.20. SPY is trading at $183.85 as of this writing. The risk control mechanism is small quantities.
