I can hear the collective sigh of relief among investors who are gradually accepting the possibility that the worst may be behind us. It usually only takes a rally of about 20% to hear an audible exhale. This time it took a 38% move up in 60 days to change a few minds. Confidence and bullishness are obviously back. Comically, my good friend who is a real estate developer here in the front range told me yesterday that his whole office is now day trading stocks presumably in the absence of much else to do. So, as you can imagine, I am now formally worried about the immediate future of the stock market and expect a rather stiff correction to begin shortly. There are several developments in the markets now that are both warning of such an event and also require some action. By focusing on the 3 “R”s; Risk, Relative strength and Rotation, we can derive a pretty good idea of what to do now. This discussion is for your education and I hope to pass on the idea that we are always driving our portfolios, never passengers, on our way to strong results over time.