Back at +1000

My system has moved sharply higher to +1000 confirming the buy signal. The $HGX actually slightly outperformed the major indices and I did close out the bearish allocation today although if we were to go down and break 79.39, then I would go all in on the bearish side for a move to 70. Of course, I don't think that's going to happen. The $HGX is now up for another test of the 200 day SMA tomorrow which sits at 89 and change. The housing number for pending home sales tomorrow morning will likely dictate whether the $HGX is successful in this crucial test. In my opinion we are long past dilly-dallying around the 200 day SMA. It's either going to be a clean break higher which will eventually push the 50 day SMA above the 200 day SMA in this part of the rally or it's going to fail. I'm not sure the overall market will rally into the jobs number on Friday but there doesn't seem to be any reason why it couldn't.