Testing Shorts Here

This morning's note said "we're setting up for another wave higher. Timing is uncertain though." I was as surprised as anyone to see new highs today. But now I'm switching over to a bearish stance. I'm out all calls here. I'm short with a variety of OEX and ES puts and an SDS position (still holding SDS in another account). I mentioned today on Twitter that I thought we'd mark time sideways until Friday's NFP number. Today's rally notwithstanding, we're still around the highs of Monday. I smell an exhaustion top here soon. If the market shoots higher from here, I'll get flat and reassess.