Yet another turnaround week, just as I thought markets had found its logic again. Almost all sector and overall indicies turned bullish again. I really can only say that the reason must be QE2 still being a major factor and that all the cash in the market is being implimented at these elevated levels.
However stocks may be your best protection in a inflationary scenario. So it is worth holding some in your portfolio.
I used my last cash to buy DAX and QQQ. On the opening today I will take profits in my remaining gold and silver positions and buy Realestate (NYSEARCA:IYR), Semi conductor (NYSEARCA:SMH) and Tech (NYSEARCA:XLK).
Nothing changed in the bond markets, Inflation linked bonds is still the place to be and longer dated bonds remain in neutral teritory.
While Gold and Silver remain bullish I am getting elevation sickness at these levels and will take off my exposure. Primarily, I dont like the 5 year Silver chart - Looks a lot like a big bubble.
Copper and Oil also seem due for a correction and remain in neutral teritory.