How I Sleep at Night

     I received a pretty cool comment the other day from Yngvai, a trader I've been following for a while now- from his posts on Tim's site to his own blog. It was short and sweet: "Dude, you're the king of holding long term shorts!" I'm well aware that, over the past couple of years, it has been easy making money going short. Now (in the midst of this rare rally) the hoopleheads (a not-so-nice term coined by the character Al Swearengen in the HBO series Deadwood) on Yahoo Finance like to point out with great vigor, that we have seen the bottom and are on our way back up. Maybe. If so, holding shorts 'wouldn't be prudent' (Dana Carvey doing a G.W. Bush impersonation). I sleep well at night tuning out all the noise and using what little technical saavy I possess. Below is a longterm trading range of the Dow, and why I think (along with many other technical traders) we are currently experiencing a bear market rally- and possibly about to head back down to 5000.

For my 401k and IRA's sake, I hope I'm wrong and this rally never ends. With this account, though, I'm perfectly content staying short PALM and MAXY (and long FAZ- a short-minded etf).

Thank you and goodnight!

Evan