Stocks Mixed into Final Hour as Commodity Decline is Offset by Healthcare Rise

BOTTOM LINE: The Portfolio is about even into the final hour as gains in my Computer longs and Energy-related shorts are offsetting losses in my Networking longs. I added back IWM and QQQQ shorts today, thus leaving the Portfolio 75% net long. The tone of the market is negative as the advance/decline line is lower, sector performance is mixed and volume is heavy. The AAII percentage of Bulls fell to 33.73% this week from 45.36% the prior week. This reading is now at below average levels. The AAII percentage of Bears jumped to 40.83% this week from 27.84% the prior week. This reading is now at above average levels. Considering the major averages are approaching six-year highs, these numbers are somewhat stunning and bode well for further gains. I expect bullish sentiment to rise next week. I expect US stocks to trade mixed into the close from current levels as short-covering offsets profit-taking.