Rally Potential....
The problem everyone has with the stock market is it never seems to favor the little guy. It always seems to have its biggest ups and largest drawdowns at the time when it is least convenient for the little man. The standard CFP advice is "buy and hold" forever like Mr. Buffet.
I have often said that we have no idea if the dips and rises would have ended if the little guy had done exactly that. The reason why the market tanks or rises is a complete contradiction of that very term. When everyone is all in it falls because there are no more buyers and the hedge funds and large funds like Buffet can exit. When the little guy is selling at the so called bottom because his portfolio has been decimated that is when these funds are buying back in. So exactly what sort of advice is that?
It is the advice of someone who does not trade the market that is what.
I have just gone short on the SP 500 and I am not expecting miracles but I think that this area certainly holds a possible reversal in the indexes. A breather if you will. This is a key fibonacci area and I intend to make the most of it if possible. I will know if mom and pop decide to get in because we will see the volume increase incredibly. This is simply not the case at the moment.
Why would it be?
The boomers are in no mood at the later years of their life to be gambling their profits away. They have simply been burned too many times to have any faith at all in wall street. Can you blame them? I sure don't.
So if the markets are going to fall they will do so in this area. Possibly falling hard and fast. Time will tell. The blow off top that everyone is looking for is not going to be visible to most. Therefor one has to use some other method that will mechanically keep you in the trade. This is just such a method.
Wishing you well.
As you can see below I am short 15 contracts from the top area. Time will tell if I am right or not.
I have often said that we have no idea if the dips and rises would have ended if the little guy had done exactly that. The reason why the market tanks or rises is a complete contradiction of that very term. When everyone is all in it falls because there are no more buyers and the hedge funds and large funds like Buffet can exit. When the little guy is selling at the so called bottom because his portfolio has been decimated that is when these funds are buying back in. So exactly what sort of advice is that?
It is the advice of someone who does not trade the market that is what.
I have just gone short on the SP 500 and I am not expecting miracles but I think that this area certainly holds a possible reversal in the indexes. A breather if you will. This is a key fibonacci area and I intend to make the most of it if possible. I will know if mom and pop decide to get in because we will see the volume increase incredibly. This is simply not the case at the moment.
Why would it be?
The boomers are in no mood at the later years of their life to be gambling their profits away. They have simply been burned too many times to have any faith at all in wall street. Can you blame them? I sure don't.
So if the markets are going to fall they will do so in this area. Possibly falling hard and fast. Time will tell. The blow off top that everyone is looking for is not going to be visible to most. Therefor one has to use some other method that will mechanically keep you in the trade. This is just such a method.
Wishing you well.
As you can see below I am short 15 contracts from the top area. Time will tell if I am right or not.
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