Well, it's been a nice run – in US markets anyway. We are about to enter a period of seasonal weakness, with the average start date of May 6. I think it has already started – the internals broke down 3 days ago and the bad day yesterday generated some trend line breaks. I don't believe a crash is coming, but markets are definitely vulnerable to a correction, or at least a choppy sideways move until the fall. The last week or 2 has seen some of the high fliers such as biotechs and solars underperforming the S&P. Which leads me to believe the typical summer rotation favoring safer stocks has begun. My favorite sector this year was the solars, but TAN, the solar ETF reversed exactly at resistance (last year's high of 50), so for now I'm mostly out. It remains a sector worth watching – it could still have a run during the summer.

Meanwhile on the resource front, there appears to be a significant number of bottoming patterns in uranium, rare earths and PM stocks. These sectors are not highly correlated to the overall market, so they have the potential to buck the trend. I'm accumulating stocks in these sectors, although a little lighter in PMs (I just have trouble trusting moves in PMs). I'm also keeping some powder dry in order to take advantage of some day trading opportunities which are inevitable in a choppy market.