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The Dow Jones Industrial Average continued to power ahead, setting new record closing highs each day last week, closing just shy of 10,500. The DJIA is now up a remarkable 3,000 points, more than 40%, since the lows of last September and October. Over this same time frame, the Russell 2000 index has also gained about the same amount. The key difference is that despite this huge rally, the RUT is still 15% below its all-time peak reached a year ago. The pattern of the rally in the RUT is most unconvincing, and appears to be counter-trend in nature.

If you haven't seen it yet, check out the April 1st edition of Alan Newman's newsletter, "Crosscurrents." The title of the article, "Pictures of a Stock Market Manias," says it all.

From an Elliott Wave perspective, the DJIA appears to be wrapping up a large move from the September/October lows. All evidence suggests that it is a five-wave structure marking the market’s last hurrah. Even if the move from last fall is an A-B-C countertrend rebound as part of a large wave 4 correction that will precede one more push to much higher levels, the exact distinction at this point is not particularly relevant. Both counts portend a sharp drop way back down to the 6,000-7,000 level.

Meanwhile, bulls are not content with 10,000; they’ve got their sites set much higher. 15,000? 20,000? How about 36,000?

For all but those egomaniacs who are shooting for perfection and who want to be able to brag to their golfing buddies that they sold out at the exact top, the risk/reward ratio remains extremely high Despite the potential for a short-term rally, a these lofty levels, another 1,000 points on the DJIA would only be a 10% move. As many have said, "its better to be a month early than a day late."

The former Vietnam War protestor turned Commander in Chief is thoroughly enjoying his new role. Is Field Marshall Clinton truly concerned about stopping the killings in Kosovo, or is he more concerned with salvaging his historical legacy and paving the way for "Algore" in 2000? It certainly is the biggest gamble of Mr. Clinton’s life. Will it backfire and lead to might bigger and more devastating problems, only time will tell.

After nearly a month of bombing, life goes on pretty much as usual in Belgrade, if you can believe the reports on CNN. Rock concerts, marathons races, strolls through the park, even shopping in uncrowded supermarkets, life goes on.

One thing is certain – the political hypocrisy and positioning being dropped like bombs on the people of the world is an atrocity in its own right.

• Why didn’t America and its allies intervene in Rwanda where an estimated one MILLION Hutus and Tutsis were annihilating each other? Or Sudan? Or Afghanistan? Or Indonesia? Or Tibet? Or any of a dozen other homes to "genocide"

• Why haven’t America and its allies intervened in a dozen other "ethnic conflicts" still going on around the world?

• If Slobodan Milosevic is such a dastardly demon, what are we waiting for? Why haven’t we declared war and sent in ground troops?

• What is the imminent national security risk posed to America by the events in Yugoslavia?

• Why don’t our European allies, who are so much closer to the ongoing events, feel threatened enough by Slobodan Milosevic to take the lead in stopping him?

• Since when is Albania a member of NATO and thus entitled to be defended by our troops and missiles?

Russia is the wildcard in it all. Boris Yeltsin has been cozying up to Milosevic and Serbia. They have nine ships in the Mediterranean to monitor things, and he has been rattling his much-weakened saber. Yeltsin himself has raised the specter of a third world war. In fact, he said today "Russia would not allow the West to defeat Slobodan Milosevic and establish control over Yugoslavia."