Zeev's Turnips Patch-No Politics (ZEEV)

[JMKel]

I suspect that this market will not see a substantial correction until after the election on Nov 9.

The action we are seeing today may be an attempt to buy into the rally cheap. The increase in volume in QQQ seems to be pointing to a base building for a subsequent run to higher levels. There have been lots of downgrades which can be interpreted as an attempt by the big boys to get in a little cheaper. These downgrades are negatively disproportionate to the number of companies meeting and exceeding earnings.

Reports on the mutual funds and short market indicate that the hedge funds are reducing their short positions at the same time the mutual funds are moving away from bonds into equities.
This story does not jive with an imminent correction.

Also, reports indicate that we are returning to a buy the dips psychology.

We will see.

FWIW