So, what do we do? Simple, if the retail investors are on the sidelines, then those of us that are left need to play with the machines and the FED. Until the retail trader comes back (currently 30% less than usual volume from retail), the FED is just as important as the technicals and more important than the fundamentals.
Great summary of what happened today and why not to bet against the market on POMO days… we may pull back tomorrow (no POMO), but with more POMOs around the corner, be careful going short the market and let’s stick to the day to day picture. Next POMO day is Thursday. POMO may not be able to support the markets against scheduled news out of China, GDP numbers, and Jobless Claims.
POMO as seen through AAPL (286.86 ↓-1.48%), AMZN (159.70 ↑0.21%) intraday charts today.
My current sentiment is slightly bearish and heavily in cash until we get some good news or 1150 is broken with volume.
I’ll be in the BullsOnWallStreet trading room all day tomorrow. Stop by and let’s make some money!