January started off with a bang to the downside and ended with a one-day mother-of-all-rallies. What's ahead. Either way it appears as if volatility is back in vogue. We have seen a clear change of intermediate term leadership as the bears have taken control. This means for me that until proven otherwise, risks to the downside outweigh any upside benefit and believe any failed rallies should be used to lighten up risk.
Not in my camp? Take a look at January's Charts on the Move video (link below) and see if it gives you a different perspective.