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The Bull Looks Tired

The Cyprus Parliament has rejected their insane bank deposit tax. This gave stocks a chance to rally back into the close on Tuesday.

So was this just a bout of temporary insanity... or will it return with a vengeance?

This touch of uncertainty may linger in the air for a little while longer giving nervous investors a reason to take profits after the recent run. This means a likely consolidation period where the overall indices are little changed, yet money swirls violently from group to group. So today's hero becomes tomorrow's goat... and vice versa.

I find it best during these times to do nothing. Meaning if your stocks are fundamentally sound, then any beating will be short lived. And soon enough you will be rewarded for sticking to your guns.

Meaning the 4 year bull is far from over. Yet he may be resting for a couple weeks before charging ahead.

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Steve Reitmeister

Executive VP - Zacks.com

Zacks Investment Research

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