Zombie Rally

As January ends indexes are at record highs and a new euphoria has hit the general market as well as the hedge industry as even their legions have entered into long only strategies in an effort to hopefully undo year after year on dismal returns. But it has to be an uneasy long for all who dare since it rests on a mad man's actions and a public so easily duped and already holding record amounts of passive ETF's which have never been tested by potential nuclear volatility.  But as indicated in the last post, this is a time for selling nearly all assets into the welcome arms of the zombie rally. The likes of Warren Buffett have dismissed the current executive new comer and has proclaimed that regardless of who is in charge, America works. Well America may want to work but market history is filled with times where the only thing that works is down. The market is so uniformly in tune with the notion of upside opportunity that prospects of a cascade of systematic selling in an arbitrage adjusting, AI and Machine Learning, high frequency front running, Fintech application trapped into buying but can't get out selling, kind of disaster.