I'm now thinking that the market could remain buoyant for the remainder of April. The problem is that the banks announce earnings for the next 2 weeks and no one in their right mind wants to get short in front of that. I still think we're likely to see "better than expected" earnings from the majority of the banks. Then we'll get an announcement on the stress tests at the end of the month. I wouldn't be shocked if that announcement is one of these grand Sunday evening events where the Fed and Treasury declare that they have saved the world again. 5% market pop off that and then we're all set for the greatest "sell in May and go away" that the market has ever seen. These banks are not healthy and the economy is not rebounding. I am certain of both.

Personally, I am not getting short in front of these bank earnings. It's just too risky. Until then I can afford to be patient. If the market melts up further then it will only tee up my short positions better. If you want to be long I wouldn't allocate no more than 30% of my capital to the long side and I would likely do it entirely in tech names. I want nothing to do with the banks until these fake earnings are over.