Evening folks! Another sloppy day in the markets. Its been tricky trading the last week or so. I personally have been off my game the last few days as breakouts and breakdowns have been choppy. There hasnt really been anything going on except a bunch of traders pecker slapping each other trying to grind out a few cents here or there. the good thing is that we are near a major level of support and we should have a better idea of whats in store for the market on how it reacts around this key level. WE maybe bounce off the 50dma here and it would be a low risk entry for some adds to the portfolio. If we do bounce the nature of it will be key in terms of breadth, depth, volume etc. If we dont bounce off this level and breakdown further we would soon trigger an oversold condition in the markets which tends to lead to bounces. A tricky spot we are in and probably a bit late to roll up shorts on a swingterm basis as this market tends to bounce after multiday pullbacks and whenver things get ugly random squeezes will appear out of nowhere on some leaked news on europe/fed/ etc.
Probably a good time to cut your position sizing down a bit to limit your risk and wait for better conditions or a clearer picture.
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