The bulls are trying – gotta give them credit for that at least.

Last week if felt  like the market was going straight to zero, this week, everyone is acting like the Coronavirus has a cure and the worst is behind us.

Where’s the truth? Somewhere in the  middle. The market is rallying because it just had its fastest market correction in history, and the the readings across the board were dismal. Yeah, I could see this market rally lasting throughout the week, but I wouldn’t put too much confidence in it. The 10-year is still in the dumpster, the airlines and cruise lines are still awful, and Utilities, Staples and Real Estate are the market leaders for today’s rally. 

What does that tell you? Traders are still looking for safety and avoiding the riskier trades. 

I added two new long positions today, but I certainly am not married to them. As the trades become more profitable, I will start to look at scaling out of them, and definitely raising my stop in them. The S&P 500 could rally another 180 points and the chart will still look incredibly bearish. 

Don’t put your trust in this market, and be aggressive with profit taking. 

With that said, here’s the bullish watch-list for this week: