The bad news is that the bounce that was likely to occur Wednesday and today is not looking like much of a bounce at all.
This is in spite of the news that Trump is meeting with the Chinese leader on trade.
Today is a short trading day, but it looks we are going to start the day with a gap down.
With the gap lower I am about at break even on my 50% new position in SSO. I was trading this for a 2-day swing. We will see how today ends up, but I am likely to exit the 50% position and keep the 1/4 position I have had on for a while.
The market is oversold right now, and ripe for a rebound. But right now it looks like it is going to take some news to get it going. There is just too much uncertainty right now.
The political dysfunction I have been talking about the last six months has finally taken its toll. The bad news is it’s only going to get worse.
The populace has bought the media’s narrative hook line and sinker at this point. It’s taking its toll finally. And they are not letting up. It has turned reasonable thinking people into nonthinking obsessed with hate zombies.
And that is where we are at now. And the people behind creating this division are still hard at work, with unlimited funds. The people best able to fight this, have either been corrupted or are just trying to survive at this point.
There is only a hand full of people that are truth seekers out there. The most well known is Assange, and he has been silenced. Censorship is increasing, so that many others will be silenced also.
That is the state the markets are trading in right now, and the people that move the markets know it. Tech is busting, the Fed is on self-destruct, and our politicians are more concentrated on destroying the opposition, then making decisions that benefit the U.S.
As we head into year end, I do not remember the 60s being this bad in the U.S.
So what is one to do if you’re trying to grind out a profit swing trading, or trying to invest for retirement income?
You have to be conservative right now and avoid Large risk-taking.
It seems I am a pessimist by nature, but unfortunately, I have tended to view things accurately. I have been wrong from time to time, but, I do not see this market reversing to make new highs for a long time now.
A trading range is probably the best you can hope for right now.
Now, things to look for that might change the outlook:
1. trade deals with China finalized
2. Mueller investigation finished
3. Trump getting a decent AG
4. The Fed changing its course and starting to ease up
These are all things you can watch and observe without much difficulty.
However, until the media lets up on its mission to destroy Trump at all costs, the volatility will continue.
Regardless of your views on Trump, if your an investor you need to be aware of the negative effect this is taking on the markets.
The intelligence leaks, (mostly turn out false) are spooking the markets. And it is not going to stop until there is some accountability. Unfortunately, I do not see that in the cards. But one never knows:)
We are just starting the best six months of the year, and I am watching closely the Nasdaq/SPY weekly relative strength indicator for a signal. We are a long way from that triggering.
That is going to be my go sign to start getting aggressive again.
If you want to follow some of my trades along with my thoughts typically given after the open you can go to @rickjswings. Typically I talk about the overall day expected with the markets and also give some levels on the ES and NQ for failed breakout scalping.
It’s my private twitter feed for the stock market and its free. Sports Handicapping is the subscription-based part of this site. But considering the cost of joining it’s almost free:)
Good Luck Today
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