One day after Gartman took a shot at the “Fine people” at Zero hedge for pointing out his legendary, daily flip-flopping, the world-renowned commodity guru may be learning, and in his latest note has decided to take a step back from telegraphing what he does in his “retirement portfolio” and instead writes that “we have no net position recommended in equities anywhere at the moment although we are still of the opinion that the “action” since the first of the year here in the States, as well as in Japan and Europe, is one of massive consolidation of the gains that accrued from the last material interim low back in early ’16″ which of course is vastly different from his February assessment that the multi-year bull market has topped out.
However, it is here that Gartman’s hedging begins, first on the bearish side, because in the very next sentence Gartman writes that that it is “probable that the S&P can and likely shall fall another 45-55 points”:
the market here in the US is almost rhythmic in nature given that in recent months quiet strength as been followed by and equally quiet retracement, followed by another rally, followed by another retracement, and recently followed by yet another rally. We are now retracing yet again, and it is entirely possible… indeed it is even probable… that the S&P can and likely shall fall another 45-55 “points” to the downside…
Followed immediately by his “bullish” hedge:
… before falling back to substantive, long term support, at which point we shall almost certainly be an aggressive buyer of shares.
But don’t expect Gartman to be jumping in:
Until then we shall watch from the sidelines for once again we shall note that this is a bull market and in bull markets one can have only one of three possible positions: Aggressively long; modestly long or neutral. We are neutral at present
At least until tomorrow, when we expect the entire narrative to change again.
Meanwhile, here is Gartman once again basking in the warm glow of his latest hyperbolic prediction, one which sees the Dow hitting 30,000 in the not too distant future:
What then, you may ask, of our recent suggestion that the Dow may trade to 30,000? This is a reasonable question and our answer is that we shall only look for that possibility to be wholly intact and potentially likely when/if the markets do break out of the massive consolidation pattern we’ve discussed here several times this past week and have discussed above. They’ve tried to do so here in the States, as well as in Japan and Europe, but thus far they’ve failed. When and if they do break-out to the upside, we shall tout Dow 30,000 to the rooftops, but until they do this is only a suggestion, it is not a recommendation to buy… yet.
To summarize, if the markets rise sharply higher, they may rise sharply higher… and vice versa.
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