Stocks Remain on Conditional Buy Signal

The condition being that master financial pimp, Ben Bernanke, continues with the presto money creation. I'd bestow an "uncle" Ben, but that would be offensive to the good members of the Uncle-hood. Pimp is more like it (the harlots being his cabal of banks). LOL.

It's true dat (a little city street lingo for ya) the upward climb in the S&P 500 slowed in December to a .1% gain. And, yes, it's true that a variety of technical market indicators are flashing red signals, BUT QE is still an active force supporting stocks. Yes, I still hate QE, but it must be recognized. Just think of it, billions, trillions in new money to get an 11% gain out of SnP last year, and still gold was up nearly 30%. Nice job there Washington financial sickies.

Yes, I believe this whole scheme is going to flame out in some nasty way , but for now the market is likely to try to wiggle higher as the minions on Wall Street worship their gods at the Fed who think they are really creating something out of nothing. Let's also see, for example, if the year- beginning retirement fund shenanigans bring any additional loving to the stock market. Should the market take on a more serious wheeze this month in the face of seasonal and extraordinary props, take further action to protect your gains.

Conversely, if the Dow ratchets up to 12K in short order, I'd also be a bit concerned about the mother of all overbought situations. But hey with this QE, anything is possible.