Right now, it's seems the SPY is testing its support, which was 2011 highs(137.18). I will remain bullish if it trades at around that level. If 137 is broken however, I might consider closing my open positions.
Let's not forget that Earning season has started and this will affect the direction of the market. Also "summer" is around the corner, will traders "Sell in May and go away" ?
As per the publisher of this chart, Doug Kass, he 's long YHOO, MSFT, IFF, CSX, BTU and BRK.B.