WELL WELL

THE TRENDS:  The long term trend remains up and so does the intermediate term trend as you can see from the weekly SPY chart.  For the fourth straight week, the market closed higher.

WHAT I WOULD DO LONG TERM:  I learned a very important lesson.  After such a huge weekly move up, I expected sometime during the next  1 - 3 weeks the market would make a daily retracement to allow a lower risk entry into the anticipated move up.  But it didn't.  The danger of simply entering the market after such a large move up, is that the market more often than not will retrace, and sometimes severely.  The flip side is that sometimes, the market will simply skyrocket higher and leave me on the sidelines.  From this point forward, if there is a large single day up move that signals an intermediate up trend, I will throw 30-50% of my available funds into the market.  Then, as the market moves higher, commit more and more.  That is what I'm doing next week. Having said that, I'm keeping a VERY close eye on the charts now.  We are getting very close to the price levels where the last two prolonged bear markets occurred.  The 2000-2002 and 2008 bear markets where the markets declined 50% or more.  Have a great weekend.