Good morning STT traders,
Now all im noticing allover twitter and Hc is is cheap bargains+ bounce soon + dow futures going green asx to reverse etc...
These comments are showing the current type of trader that are in the market .....
Why would anyone be rushing to get back in the market like the Dow J did 6% for just jan our asx was lucky to just do that in the whole 2017 doesn't that say something.......
As posted in jan 2 times our market was seeing unhealthy volume creeping in from start of jan but all i was reading is long and strong even brokers on twitter holding full positions .... When this style of posting is happening general the market makers do the opposite and they certainly were evident first few weeks of jan.....
Now as posted we would see a nasty correction and from the dow J high to now it happened quite fast and the candle overnight was nastier than the candle before the spread is horrible and why not i mean 6% up for the month of jan surely that was alarm bells...
My thoughts are simple this is such a much needed correction and 24000 level thereabouts is the level i will watch but in the back of my mind is this ...
The dow has gone on a massive bull run to the point of actually being scary ..... Now bitcoin did the same thing hit 10000 than 20000 came fast now its looking for normality which its struggling to find.... The overall us economy gained in strength yet again and traders minds switch to rate rise harder markets lets take profits ... Big difference than a crashing market where the market is crashing on global uncertainty...
Instead of fighting the trend why not enjoy what a remarkable run our spec markets have given us and wait for more suitable times to get back in .... I mean yesterdays cheap stocks will look exspensive today maybe for the whole week actually ....
The last thing the market wants is a fast recovery or bounce let the bull do what is needed and the shorts will have there fun for now...
Below i find interesting...
(For a start, Wall Street is starting to worry about rising inflation. Last week’s jobs report showed unemployment at 4.1%, its lowest for 17 years, and average hourly earnings rising at an annual rate of 2.9%, the highest in eight years. The weakness of the dollar makes imports dearer, while Trump’s tax cuts will kick in at the worst possible moment, toward the end of a long cyclical upswing when there is a danger of the economy overheating.)
Janet yellen was the market bull she left at the right time now a rookie (jerome powell ) is left with the overhang going to be interesting ....
(Last week saw a different mood in the markets. Now there is concern that the Fed is a bit behind the curve and will be forced into tougher action than the markets had hitherto been expecting. The chances of a misstep have increased at a time when it has a rookie in the top job.)
Dont chase enjoy life the markets have surley given us alot over the last 4-5 months so thats where our cash management should kick in and we always save for these times of uncertainty... Like mentioned i have been waiting to go on holidays which i have just booked (20%-30% off in feb )
bring on some waves in tahiti and samoa than off to houston texas to import a boat ....
Just be wary in the markets and be patient i mean the dow has shed 1600 points this month for a reason as mentioned last month we will see the true character of traders and the ones fighting the market and giving there hard earned back will feel some pain but good pain as lessons for next time .... You never ever go broke taking green and taking money out of the market and you will be around making cash for along time ....
Time for my break have 10% left in the market so no sweating no need to watch or buy just relax and stick to my plan ...
Good luck to all and from now -july will be testing ...
TS
