The Dow is 420-Friendly for Thanksgiving

The Dow is off by more than 400 points as I write this, ushering in a nasty beginning to the Thanksgiving-shortened week of trading. There are very few, if any, places to hide on the long side besides cash, as the crypto plays and pot stocks are getting clocked, too, on top of prominent tech names like CRM, NVDA, and FB. 

I moved back to a 100% cash position on Friday in my trading account after testing out exactly one long on Thursday in the cybersecurity/software play ZS, which properly stopped me out the following day. If I had not respected my stop on a daily closing basis, I would have endured another 15% down today as many growth software names are getting absolutely pummeled. 

At the moment, I am inclined to stay in full cash, despite how impressed I am with TSLA's relative strength. 

True, some gold and natty-related plays are hanging in reasonably well here. But the overall theme of this selling is that relative strength plays, especially in tech, which had been holding up well, are now succumbing to a deepening correction. 

As a result, cash ain't trash, as we know the short side is still vulnerable to various trade rumors and the notion that bulls could swoop in any moment for a holiday bounce. 

Still, if bulls are going to make any headway here they simply must defend the $268 area, seen on the SPY daily chart, below, to help knock out some type of range.