Market top and long positions

Just thought I would throw in the current VIX positions as well...

If the 14 Resistance breaks, then there could be a potential fall in the markets.

dl.dropbox.com/u/4385922/VIX_31.png

As you may have seen from my post on dow n Ftse i remain bullish for the rest of the year when i expect a top to come in and complete 5 primary waves up and start a bear market going into 2014 for at 6-9 Months.

The key numbers i have for any meaning full corrections/pullback are 1391/1400, 1386/1400, 1433/1440, 1465/1475, 1499 so far...

I also have an alt bearish count but that's a bit way of in my view until a certain level is validated.

Here's a quick n dirty chart of my view for this year and going into 2014, its the only one i have saved on my work machine, will send a detailed one out..but this will give u an idea of my thoughts... could be completely wrong but for now my view remains bullish. All IMHO.

dl.dropbox.com/u/40497882/SPX_daily1.JPG

I ask because I've been seeing a lot of buy signals from breakouts and stocks at supports after bullish divergences recently.

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Jackozy if the buy signals from breakouts you are seeing are valid then there is one logical answer to your question....May be its NOT the market top at current levels or at 14200 (contarary to the popular belief!)

If you think 14200 will be the top of current bull market , you should not take any long positions.

If you think retrace from the current level will be short term and this bull market has still got legs then you should take long positions on pull backs

Market top? , trading/investing long-term or short-term?

Who knows, but strong money management required, but as a guess not the same as 2007, very low interest rates (rates will rise and inflation will come-next year maybe-rubbish economies & strong stock markets (vice-versa for China), however,certainly plenty of companies with strong cash positions, don't confuse economics/economists predictions with stock markets, alot of noise about at the moment - see link below), Fed and others still printing at present, but watch out for their exit.Switch from some strong Asain markets to some parts of the largest EM(EU/UK)this year maybe?

As Remo says, trade short-term may be best unless you are good at market timing, better to trade quality FTSE 100 rather than riskier AIM. Dip coming in main indexes and then continued rise to year-end who knows?

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As Warren Buffet has said for investing:-

"Rule No.1: Never lose money. Rule No.2: Never forget rule No.1." (lock in for some then)

"It is better to hang out with people better than you ... you'll drift in that direction." (join Chartsview - tell a friend(s), especially the ones that keep asking you which way the market/stock is going to go!)

"I don't look to jump over 7-foot bars: I look around for 1-foot bars that I can step over."(more comfortable to buy favorite stocks when on sale, better to trade than invest at present then?)

"I buy on the assumption that they could close the market the next day and not reopen it for five years."(profitable growing companies only then, what will IIs invest in during this very low interest environment, FTSE100 or Aim)

"Whether we're talking about socks or stocks, I like buying quality merchandise when it is marked down."(trade on the dips as diver993 says)

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US$, GB£ and Yen race to devalue, EUR stronger and may increase to 144 to $ not good for EU exporters.Worsening economies = more QE/Stimulus (UK,EU,Japan, any others they all seem to be at it - What will China do after change over in March).

Trade cautiously or wait (don't trade) if keep buying at support and support keeps failing, take a break. Markets are due a retrace as diver993 says but may well continue a while yet (all those pension funds buying near the top! not wanting to miss out and trying to get some return in a low interest environment), then the time to go longer on the dip?

Just some views, not any advice, as I'm not qualified to give any.

Latest from that French company (anti-UK/US)prediction (16/1/13):-

www.leap2020.eu/GEAB-N-71-is-available-U...e-global_a13066.html

Many indicies, especially the DOW, S&P, and FTSE are all very mature and due a retrace. Also the $ is looking week so a time to take profits and buy back in on dips IMHO.

i must say thou ive been having a lot more losses recently than normal so will be interesting to see how the dow performs on first contact of the high.