Last week was a good trading week and general indexes jumped on the back of earnings reports that were less crappy than investors were thinking. However, I wouldn’t go as far to say that the earnings were good.

I took the opportunity to start trimming back our stock exposure as we get ready to enter August, and the next Federal Reserve Meeting. We are now about 75% invested in stocks and 25% sitting in cash. My upside targets for this rebound are being hit and I’m expecting to continue to incrementally sell into strength again this week, should we see it.

This remains a very difficult trading environment and I’m trying to play percentage ball, i.e., hit a lot of singles. Swinging for the fences in this environment will get you pounded harder than the Boston Red Sox did this past weekend against my Jays.