What rhymes with "Tool Carpet"?

“History doesn't repeat itself - at best it sometimes rhymes” 

- Mark Twain

If we look at the last time The Fed gave the market a little sugar on November 3rd 2010, you can see that it took a little breather to the 50 day simple moving average a few days later and then continued on an 18% rally into the beginning of May.  During this time frame we had two major events happen.  First in Japan and then in Libya, but the market powered up until the "Sell in May" rule kicked in.

So now we have QE3 and as expected it has relaxed from that euphoria driven news. The question to ask now is if the market will relax to it's 50day or is the 20 day as low as it will go?  If you are entering an new  positions now, perhaps entering with half or a third of a position would be wiser than just piling on in 100%.  It all depends on your personality and level of risk.

What rhymes with Tool Carpet you may ask?  How about Bull Market just like QE1 & QE2.  Even if it is short lived since this version of QE is not seen as being as effective as its previous siblings by the Fed.