It's possible that the past few days rally in stocks is all she wrote for the retracement of an initial wave down in what is unfolding as a five-wave sequence. That implies much further decline ahead. Taking out today/yesterday's highs cancels that forecast, otherwise, stocks: assume the position. DJI SPY GLD Gold (GLD) is tricky in here, on the one hand it can still decline into the Fib zone and still be bullish longer term, and on the other hand it too can be all through with its counter-trend retracement. All but the Jun $195GLD calls hit their respective 50% trailing stops in yesterday's carnage, but that was more than made up for with previous gains. Tricky, yes, but still bullish. GLD Calls Previous gains were hit with 50% trailing stops in all but the March 1st call purchases. The Jun 21st $220C still looks attractive despite the haircut. HYG Jun HYG $76 Put This is a bet on inflation and interest rates spiking, while bonds and in particular junk bonds, tanking and to do so now, i.e., within next 30-60 days. Buy: HYG Jun 21st $76P @ 0.69 Target: HYG < $74-72 HYG $76P > $2-4 50% Trailing Stop (from entry and then from Best % Gain >+50%)
