Good afternoon traders,
Let's take a look at spy and what should become a very critical week for the US equity market. Looking at the chart we can see that we obviously had a sharp correction from all time highs, and an equally sharp rebound. It's understandable the markets hesitance to enter a correction considering it has the leader of the free world pinning his success, and arguably the 2020 election to it. A correction right now, is bad, bad, bad, as he would say.
Seeing as we are nearing all time highs again, I would like to quote a popular saying:
"Big money is made in the stock market by being on the right side of the major moves. The idea is to get in harmony with the market. It's suicidal to fight trends. They have a higher probability of continuing than not." - Martin Zweig
So which is it? Are we in a bull or bear market? You, me, and along with millions of other investors are asking themselves. I'd like to point back to the quote, "the idea is to get in harmony with the market" - with that in mind folks, we're about to find out what kind of market we're in. We are currently within 1.5% of ATH.
If you ever had an inclination of taking profits, it doesn't get any better than this folks. My plan is to sit out the next 1.5% and let the market decide whether it's up or down.
Technical indicator wise, we can see they're screaming one thing and one thing only: DOWN. We have divergence everywhere, some of the worst I've ever seen. We're seeing the markets irrationality at its finest diplay right now, and when a market is irrational, there's only one thing you can really do, and that's sit it out.
Next week should be interesting, to say the least.
Thanks for reading, and if you like my content please hit the "Like" and "follow" button.
Have a great day!
Let's take a look at spy and what should become a very critical week for the US equity market. Looking at the chart we can see that we obviously had a sharp correction from all time highs, and an equally sharp rebound. It's understandable the markets hesitance to enter a correction considering it has the leader of the free world pinning his success, and arguably the 2020 election to it. A correction right now, is bad, bad, bad, as he would say.
Seeing as we are nearing all time highs again, I would like to quote a popular saying:
"Big money is made in the stock market by being on the right side of the major moves. The idea is to get in harmony with the market. It's suicidal to fight trends. They have a higher probability of continuing than not." - Martin Zweig
So which is it? Are we in a bull or bear market? You, me, and along with millions of other investors are asking themselves. I'd like to point back to the quote, "the idea is to get in harmony with the market" - with that in mind folks, we're about to find out what kind of market we're in. We are currently within 1.5% of ATH.
If you ever had an inclination of taking profits, it doesn't get any better than this folks. My plan is to sit out the next 1.5% and let the market decide whether it's up or down.
Technical indicator wise, we can see they're screaming one thing and one thing only: DOWN. We have divergence everywhere, some of the worst I've ever seen. We're seeing the markets irrationality at its finest diplay right now, and when a market is irrational, there's only one thing you can really do, and that's sit it out.
Next week should be interesting, to say the least.
Thanks for reading, and if you like my content please hit the "Like" and "follow" button.
Have a great day!
If you find my information helpful, please return the favor and hit the like and follow button, it's very encouraging and keeps me motivated!
Twitter: twitter.com/Jedi_ant
Twitter: twitter.com/Jedi_ant
