Markets are very tired

Seasonality and overbought... Professionals shorting and non professionals buying. Insiders selling. Forex giving strong bearish signals... Complacency...

I don´t know from this point if S&P500 can trade above 1700... What i am seeing is that even the bearish blogs are expecting a rise above 1700 and this is not good... I exited my long positions and start shorting. My forex trades (long JPY and USD against some currencies are working).

Bellow is a chart from one of the worst indexes IBEX30, where you can see a good spot to short.

One last Hurray?

One think that could lead to bears giving up and beeing stopped was if SP500 broke 1700 points and spike higher.

That would lead to a short cover and professionals could drop even more to non professionals that will again hold the bag.

For now i am long and will invert above 1700, maybe a spike to 1710/1720.

Markets rolling over

Seasonality and divergences mean trouble for stockmarket in August... I bet that fiscal cliff talk and taper on September will bring some heavy bear days soon so be carefull out there.

Good analysis:

IWM : Russell 2000 at a major top !

Breaking point on S&P500

1670 is the key value to a major correction on S&P500.

Since huge Pomo today is not giving a bid on markets we can say that market is too weak and due for a break of 1670. Keeping short and adding on the break.

Nasdaq100 - Possible bearish target

Nasdaq100 is on the rise for some time, but is due for a large correction... Rising wedge, euphoria levels and seasonality. 

This trade is low risk because is near the exit point, a close above rising wedge.

Danger again on Silver and Gold

They had a nice run from the lows but now they are doing another bear flag and in overbought state... So Carefull longs out there, it could be a nasty fall to the lows.

Tomorrow will mark the top - Pop and Drop

Euphoria everywhere... Central banks won, namely fed and market will never fall again... really?

Tomorrow i expect a pop in the markets, S&p500 above 1700, maybe 1710 and huge reversal. I will trade these way and short the market as it pops...

http://www.zerohedge.com/news/2013-07-24/real-great-rotation

Good luck to all.