The market is clearly in “no man’s land”, as we wait to see if the current market consolidation is going to resolve by printing a bottom or taking another leg down. While I remain bearish, until the market proves itself otherwise, I am seeing quite a few bullish setups. At least more than I had in January.
Therefore, I want to position myself both long and short. Here’s how I am playing this market. I am using ultra short ETFs like SDS, QID, SKF and SRS as my bearish play, and going long individual stocks with bullish setups, like my recent WMS trade.