QE2 Working?

Is QE2 working? If its intended purpose was to drive up interest rates and create an unsustainable bubble in the stock market to induce the illusion of wealth, then, yes, it is.

I continue to look at this rally as unsustainable. As an investor and a trader I would avoid both stocks and bonds, and remain in cash until we see a major correction of 15% or more.

For traders willing to take on lots of risk, I would short the S&P, with an emphasis on financials.

I continue to accumulate out of the money put options with multiple expiration dates on GMCR, NFLX, CRM, and am looking into shorting CAT, LULU, PSUN, and CMG.

The largest head and shoulders top in history is still forming (above image)...almost complete. 11,500 on the DOW is the peak of the right shoulder. The DOW is at 11,488 as I write this. Be careful!