Much like previous limp dic$#@ attempts at the 200dma today we tried to attack the 1070 level with authority to only peter out to the whims of moustached men wearing pink fanny packs. With their eggregious shorting of the Euro and aggressive bidding of the $fxy yen they can twist this market at their leisure. Even though we held 1040 to not even be able to mount a simple sissy 10 day moving average is. Today was tricky as people got giddy at the news in the morning. local twitter folk were celebrating a possible double bottom off the 1040 area buying commodity stocks hand over fist…fist pumping “the situation” style at their UCO rocketing up. Finally they got their money back so they decided to even throw a few more on for good measure as when things bottom oil runs. It was a nice feeling for a hot morning…i could see the twitter folk about to dust of the bags of “angel dust” but in the end it was all as mythical as the fabled “donkey show”
Right now this is a sell on all pops market.. the only good time to buy is on big red days..then sell for pops. Unless you are trading these bizaro 3x etfs. Then you can find things to buy everyday, you just might blow up ur account in the midst of taking out the trash or some other domestic endevour
In the end this is a scalpers market…. i highly believe an at least 50% cash position is a must. Chillout make watchlists or use that cash for quick daytrades. But i warn you there are maybe 5-6 good daytraders around (3 of them are here) so be careful
The big sign we are looking for is when the market starts shrugging off bad news. When it no longer cares as the assumption is that everything is bad. Once that happens we bottom.