dow, page-22

farsight i just feel like a fencesitter at the moment, i just am not confident enough to see whether this is a correction like last years or maybe closer to 20% this time. i am happy with my call around april when i got bearish. i am about preserving capital for the next few months, and are still more upbeat on commodities than most, wishing to play that long term trend but it just got too crazy for me in April.
probably idealy we get a 20% correction where i am happy to buy the resource majors on margin in that scenario.
for the time being right now i only have very modest exposure to the market compared to the last 3 years, and if the mkt attempts to rally from here i will reduce this exposure by selling SPI. i am pretty sure the mkt can't reach a new high in the next 6 months so am comfortable with that strategy for awhile.

the main thing to bear in mind is our market and the u.s. have gone too long without a decent correction(8% corrections are quite small in my book), so in a nutshell i can't get too bullish until we see a bigger correction, it has been years since we have had a decent shakeout to scare people.