3-28-12 Close Comments

Today had an ugly feel to it but the last two hours repaired some of the damage. We logged a distribution day on the NASDAQ bringing the total to 3. We will lose the distribution day that occured on 2/29 in five trading days on April 4th due to it falling outside a trailing 25-day window.

The Exposure Count remains at +7 (all in)
We won't see a count reduction due to distribution until the distribution count rises to 5. A further 2 1/2% drop could cause us to see an S5 sell signal (break below the 21-day ema). Even so with the count at +7 we need three sell signals to drop us to an exposure below the fully invested level.

None of the foregoing however reduces the need to watch your portfolio and take action when warranted. I shed the half positions I held in SWI and SIMO today. I also shed my last add-on purchase of KORS. These actions have dropped my exposure to around 110%.