Distribution shows up!

For just today,this report is cooler than the other side of the pillow!

Distribution is showing up. Major indices are reverting back to their reverting back to their respective 50 day moving averages. A break below should be reviewed as that would mean many underlying stocks are doing the same.

We remain bearish on a long list of areas, even though major indices had continued higher. Again, these include:

Energy
Oil & Gas
Solar
Steel
Coal
Gold & Silver-but less so right now.
Gaming
Building/Construction
Building/Cement
Aluminum, Copper and all that stuff
Russia, Brazil and most commodity-based countries
Emerging markets
Small caps vs large caps
Rails (not all)

We will not list the good stuff today as they are now pulling back and will have more on those areas tomorrow.

As far as the year ahead, most pundits have to put out their view for the year. We do not! We do not even know what happens by Friday. But here are our worries as well as our positive thoughts:

The worries are simple. No bear market in a very long time…No decent correction in a very long time… Distorted price and yield. The fed…The fed…The fed. Other central banks.

The positives are simple. Lower oil prices…lower oil prices….lower oil prices. Interest rates remaining low. (They had better!) A better economy here…but not as good as reported…so rates can stay low. And a fed that will print money again on any blip.

Finally…the Knicks are 5-31…5-31!