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A bit of relief out of China adds more fury to the froth. China's inflation figures came in hot, but did so without an immediate interest rate hike. So this has the bulls in a lather. S&P futures are up yet again in the overnight session, nudging into the 1240s. Why not 1250? Certainly there is the sentiment to achieve it . . . chatter is starting to make the rounds that we are at several multi-year extremes, the most glaring being a 20-year extreme overbought reading on the TRIN. This may be one of those times when it pays to sit tight until we get a massive daily reversal signaling clear and present danger. I'm sitting on a hedge with SH against SPY 123 calls.