The market is rallying because a Fed official is endorsing printing more money and Existing Home Sales came in better than expected. I outlined earlier why I believe the existing home sales numbers are rear view and misleading.
The Fed continues its irresponsible policies, by going down the same path that got us into this mess. If a country headed full speed in the wrong direction is a reason to buy stocks, than the stock market is a strong buy.
I am seeing heavy call buying in a market that is still overbought. Were we not headed into the seasonally strongest part of the year, I would be moving back to a net short position today. Instead I will just shake my head in disappointment and hold onto my cheap, "defensive" stocks versus an SPY short.