The optimism faded last week as the reality of Biden's first year set in ... inflation, foreign weakness, military wonkiness, rising number of crimes and illegals crossing the border ... just overwhelmed the narrative pushed by the media and some political operatives.

The past week has shocked many investors as they watched portfolios shrink ... face the facts, we may be in the beginning of a major correction in the economy as well as our way of life.

The pandemic response has changed the spending patterns and work habits of the world.  China's reduction of foreign purchases as well as the suspension of certain of its port activities makes the supply chain increasing problematic.

Rising interest rates coupled with a slowing world economy is not a recipe for a vibrant U.S. economy.

Then factor in the ambitions of China, Russia, Iran and Pakistan and we have a rising tide of challenges to the U.S.

We continue to stay on the sidelines except with long-term held positions. The Acc/Dis chart continues to show weakness remaining below the red zone.

Remember -- "Only purchasing power counts!"

Setting definitive action points for held positions will be key to retaining profits in this market.

It is difficult to find long-term trading opportunities with the future so uncertain.

By any reasonable measure, this market is dangerous with buy-backs doing almost 50% of trading last year.

Be careful ....