Another month starting , June – usually the worst month per statistics in mid term elections.

1. COMPQ are still corrective and has not made new highs, however a pretty sharp rally has occured, but this rally should not take COMPQ to new highs. So I expect another sharp sell off on COMPQ after this bounce is done.

2. VIX is near all time lows and I expect VIX to rise higher or at least not fall further here. So 11 on VIX is imho a level where it should start to rise again.

3. Gold still in correction from 1400 top, but I still believe Gold is a good buy the dip as we are into huge support area around 1250$ ounce.

Conclusion:

Expect markets to see another sharp sell off. SPX only index making new highs with RUT, COMPQ and Dow Jones all lagging not making new highs. I would expect a sharp sell off in mkts , watch the ECB meeting starting this week.