Bulls Running For Cover

Heavy selling sends the Bulls running for cover.

September is historically a bad month for the markets.

We’ve changed our bias to bearish.

We also expect volatility to pick up.

The majority of sectors are trading well below their 40-week moving averages, which is putting pressure on areas of the market still above this key trend mark.

November’s election will also add to volatility, creating an edgy environment for investors.

Chances of new lows to be hit have gone up, creating an opportunity for short sellers nimble and aggressive enough to stomach the risky trade.

But smart money is on the sidelines waiting for an outcome to the battle likely to ensue this month.

If you like gambling, now is the time to test your luck in the market.

If you like putting the odds in your favor, you’ll wait for conditions to stack up one way or another.