Can we follow through with the equity rally into tomorrow or longer?

Since I won’t know until after unemployment Friday and

we don’t have tomorrow’s closes today let’s take stock in what we can glean from the clues

around the board.

Huge lemming effect rally in everything from oil to equities and the commensurate currencies.

The market across all these asset classes are pretty rich on a daily basis.

Usd/Jpy needs a close over

84.70 for more follow through.

In the big picture the bonds have not done anything but relieve some rsi pressure.

They have to show you some price action under today’s lows to release on the weekly charts

What to do?

Take some more money off the table in the Aussie and pare back your Yen

going into the Chicago equity close today.

You should be long Aussie which is long the stocks. Some of you have almost a 300 point lead.

This is my preferred way to play the upside.

I will not violate one of my cardinal rules for 35 years

by chasing this momentum into tomorrow. I’d rather wait for tomorrow.

If I miss it so be it…we’re long the Aussie.

Again I’ve seen these types of break outs before in 2008. You can take some serious heat to be correct.

I’d rather be cautious. The 30 year bonds under last weeks low of 133.22 (u) will get the ball rolling for long

equities…short bonds

.