1 JUN 2011, Wednesday

• I can totally explain today's stock market action....it's the official start of Hurricane Season (1 JUN - 30 NOV).  It's gotta be that simple.  No?
• Check the charts in the sidebar.
• Well...past several weeks have been very, very choppy with short ups quickly followed by short downs and repeat.  On the very short time frames (ie, trading timeframe), it has switched from long to short repeatedly.  There has been no consistency.
• I'm sticking to my thoughts put forward in 15 MAY post...all of them.  Environment may be changing from what it has been.
• I still believe that nothing that caused the 2008 collapse has been changed / fixed...merely hidden through government manipulation.  Heck, besides President Bush and Treasury Secretary Hank Paulson, none of the players leading up to this mess have even changed.  
• Anyway, market has once again closed below the 90DMA so that tells me caution is the word for longs and, after proper set-ups (ie, brief rallies), possible shorts may become the mode.
• Good read from Zero Hedge or why Greece should default now...bankers aren't necessarily bad but greedy bankers are definitely bad.  Greedy bankers are the ones that try to turn their customers (individuals or even entire nations) into debt slaves for their own profit.
• Below, monthly seasonality for JUN.

• More food for thought...Mutual Fund cash levels (ie, buying fuel) are at significantly low levels.  Check the history below.

• Just an item of interest for future reference...200 years of history of US Bond yields below...