Week of January 12

I believe the breakout will fail.

Recap of last week

Last week I went in risk-off, and was wrong so far as index grinded up 107bps. I would much rather be long all the time, but frankly the data and my systematic approach does not support this. I am forced to trade the market we have and not the one I want to see.

So far this has been a low volume melt up to new ATHs, but I do not think this breakout has legs and think high chance we fail here again and begin a pulback/correction phase.

Next move for markets