Well, Well, Well
If you went back to the well one time too often today, no worries.
Drinking the Kool aid too long may have an adverse affect on our financial well-being, but only if we are undisciplined.
My morning mantra was we all know we need a pullback, but who knows when it is coming. Remain vigilant in our discipline.
Zeek said it best: Survive until the market becomes more rational.
As day traders, we don’t care which way the market is going, as long as it is moving.
We do like balance, however, with reasonable give and take rather than the PPT induced comatose state the market has displayed the past few weeks.
Primary target was hit between the 22 and 26 “127”, and the overshoot to 30 is reasonable all things considered.
One day south side does not make a trend, so no predictions being made about “the high is in.”
Analyzing markets is one thing, profiting from it another. Timing and managing trades is key.
We celebrated my wife’s birthday today; and my normal focus was disrupted with the idea that there is more to life than the ES. I convinced myself of that as the phone was ringing all day. Friends and family took time out of their busy schedule to say hi.
My wife wanted the gift of time from me, and we went for a stroll on the beach, had a quiet lunch, and an afternoon glass of wine with a few friends before going out to dinner.
It turned out to be an expensive glass of wine, as the market was plunging, having knocked out the eighteen support. That was the scene of the crime yesterday, and the late day sell off probably caught a few traders by surprise.
I admit to being surprised by it. I suggested 24 as resistance for the reactionary bounce, then one more scalp short. Turned out that worked for anyone who carried a trailer.
Trailing past 18 was hailing day south side.
After the strength of the up move, we never know when this kind of day will materialize. It was a sea of Red for all but the Dollar.
December 28 was the last time we saw this type of free fall, as any good market technician will tell you.
@Jediphone just favorited your tweet: IMHO the biggest clue by historic measure was narrow 13.5 point week last week and the 12 vix #EMWS
confirmed the move.