HIGH ALERT

I want to remind everyone of the Head And Shoulders formation that I believe is very much in play in the major indexes, the Dow recently broke thru its support and the transports had already given us a non confirm of the rally highs.

We have had now 3 90% DOWN VOLUME DAYS in last few weeks, and very little rally in between, it is my belief that the ONGOING BEAR MARKET everyone on CNBC told us was over, and most of their guests told us "now is a great time to buy" is ready to get back to clawing again.

I hope I am wrong, but I think rally is over and next leg down has begun. When you CRIPPLE autos, housing, and financials all at once, the government cannot step in and replace demand. The Chinese market is up nearly 70% and I think may be poised to tumble, how is their economy going to do with world mired in its worst slump since 1929?

This is going to be a bumpy and sorry summer IMHO.

D in CASH 100% and in survival mode

D