FED-US EX MACHINA

Despite many Sentiment Indicators near dangerous highs, the markets seem bouyant as everyone - from Fundamentalist Warren Buffett to Technician Ralph Acampora ( who recently resurfaced) is wildly Bullish on stocks. Unanimity is usually wrong, and, as any technician will tell you, the only sure thing about an "average" is that the current momentum won't follow exactly the average - unless it's a "moving" one. Even the January Barometer predicts an up market when January is both UP and UP over 5% - at least until the Fall months, when it declines somewhat.

 Last week the notable increases were: CBOE put/call ratio to 70 (Bullish), AAII Bears a few percentage points while the Bulls dropped from 42% to 28%!  Another major move was MM funds switching from a negative $23B to a positive inflow of almost $6B.

Here are the numbers:

Date>		3/1/2013	2/22/2013
Indices:	DJIA	14089	14000
	NAZ	3169	3161
	SPX	1518	1515
WklyVolume (Bshs).
NASD/NYSE		9.2/4.0	7.4/3.0
Specul.Ratio hi=bullish		2.30	2.47
nasd/nyse
Sentiment:	put/call-CBOE	70	65
VIX>50-alltmlow=8.8		15.4	14.2
Advance/Dec-NYSE..		1667/1492	1386/1767
Weekly Net:		175	-381
Cumulative:		147505	147330
Weekly	NYSE hi/low	447/110	576/82
New Hi's/Low's	Nasdaq h/l	297/88	405/74
McClellan	Oscillator	-3	-18
McClellanSum	.+750/-1000	873	966
Newsletter	Inv.Intel -Bull:tues	46.3	48.4
Surveys	Bear:-5yrs	21.1	22.1
	AAII  -Bull :wed.	28.4	41.8
	Bear	36.6	32.5
COT:Change w/w	large/small (net)k	10/4	17/19
CEOinsider	selling	29:1	58:1
3-box rev	Bullish%-	79	81
US equity -ICI	Fund Flows	1weeklag	1B
MMF flows	Change in $B	5.77B	(23.8B)
MargDebt- top (300M)	monthly	330B	Dec.
ETF:Eqty/	Int'l/Bond	764/329/243	Dec.
Assets in	Billion$$ .
2-yr Tsy Yield: Inflation		0.24%	0.26%

With record numbers of dollars coming out of Money Market Funds, mostly into the crowded trade of short term bonds, anyone who has a minimal knowledge of covered call options and/or an interest in hedging stock market exposure might want to check out: brentleonard.com for an alternative strategy that is low-risk as well as highly rewarding. For those of you wanting more details and actual trading results, a new book is available for $14.95 at Amazon.com: Zero (IN)Tolerance

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FED-US EX MACHINA