September 29th This review of the es shows a good short trade and a good long trade over the past couple of weeks. Generally most people do not short the markets and I think this is not necessarily a good approach. The futures markets are much easier to short and you don't have to pay a fee as you would with equity markets when you borrow shares of the company you want to short and you will pay every month regardless of whether the market goes higher or lower or remains neutral and that cost can be substantial. Futures markets don't have that problem and they don't have wash rules and other things that you would expect to see in the equity markets.
I believe that many of the Markets have significant downside because of economic conditions. I would not hesitate to buy the ES a few days ago when it came to a support... but if you look at how bearish that pattern looks on the way down from a higher level I think it would be prudent as the es moves higher to lock in some profits on this long trade... and I think the market will give you an opportunity to short at a higher price. At this point I can't tell you what that level is. There is a serious problem with the fed and the bonds and inflation etc. I believe we are in trouble.
I believe that many of the Markets have significant downside because of economic conditions. I would not hesitate to buy the ES a few days ago when it came to a support... but if you look at how bearish that pattern looks on the way down from a higher level I think it would be prudent as the es moves higher to lock in some profits on this long trade... and I think the market will give you an opportunity to short at a higher price. At this point I can't tell you what that level is. There is a serious problem with the fed and the bonds and inflation etc. I believe we are in trouble.