So as rotten as it is that the market is exploding higher, in spite of a bear-friendly CPI, I would like to take a brief victory lap that my ceaselessly-cited 3500 target on the S&P was achieved. I would further like to note that the last time a major Fibonacci was hit (see yellow tint) the market rallied for over a week, stalled, and then rolled over. With nothing but 2023 puts at this point, I’m OK waiting.

(Click on image to enlarge)

I’m not sure what the bulls are smoking, to think this is a great time to buy, but maybe they’re convinced, once again, this is “peak inflation”. We’ll see. At this point, like I say, my puts are all next year, and I’ve got about 20% cash as dry powder.

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