I sound like a Broken Record

The stock market is a rigged game as far as I am concerned for short-term traders.  Do not get into believing short-term news events.  Short sellers continue to get squeezed out on any new news of ECB or Federal Reserve stimulus plans either real or perceived by investors.  Usually the market moves up before any Central bank action and then falls sharply on the "actual event".  Time and time again any further action has not worked.  Continue to hold VIX and UUP as fundamentals have not changed.  My opinion is that further central bank action is a long-term negative for the stock market as investors continue to "hope".

While we are waiting for some real economic change, I am looking for some positive groups or sectors for some long-term investments.  Some real investment potential is ahead and as long-term investors you may want to take a look at Senior Living REITS, Heath Care REITS, and natural gas for potential positive areas once the major top is in place.  The market has been prone to a sharp collapses in a short period of time so be ready when the drop occurs.  The recent move up is not a surprise as Central Banks continue to manipulate investor sentiment. What is a surprise is most trading investors continued to be drawn into investing at peak prices by these actions.    

Ban on Short Seliing in Spain and Italy

Now that the financial markets are under pressure, leaders in Italy and Spain decided to announce a ban on legal short selling.  Just another attempt to regulate in a depression. 
I believe that short selling provides future buyers in a declining market.  The attempt to regulate trading will likely backfire as investors decide the market is a rigged game and not participate.  At least in Las Vegas, I know a slot needs to pay off sometimes. 
It is O.K. if short sellers get caught in a short squeeze, but not alright if they profit from mismanagement of companies.  Does that sound fair?   The reason I like the VIX as a hedge to a declining market is it soared today is that regulators cannot attempt to control volatility.  Volatility is a natural reaction to further panic by investors. Look for future attempts by leaders to continue to ban, regulate, manipulate, and control the economic winners and losers.  However, the public is smarter this time and may revolt to further attempts to save savers and investors at the expense of all taxpayers.