You had really better understand trading, if you are hoping to directionally navigate the waters of this stock market.
At the time of this writing, namely 8:59 AM EST, it is not time to be short.
It’s time to wait, watch and observe. This situation could change, literally … within two, to three hours time. We have strayed into the complex waters that will completely destroy the new retail trader. That stretch of market ocean hiding underwater caves and the treachery of overnight Globex rallies (that one was for you Kenny … sorry, I could not resist a jab …), followed by the subsequent active market sell off.
So are you saying to short this mornings gap in active trading?
As I was saying, at this moment, 9:00 AM EST, it is not the time to be short this market.
I’m still watching the 1956 level, and looking for a candle close above that 1956 level on the September e-mini S&P 500 Index. We still have no reason to be long, although we have now received quite a few rejections of the 1850 region. That is of note, and not to be ignored. I am expecting a momentary slugfest between the bulls and bears, right here at the 1911 to 1925 region. The winner of that fight should prove telling.
Moving forward into this day, and we face 9:01 AM EST?
If you must take directional action? Well … you had really better understand trading. We remain 100% cash at the moment in short-term trading accounts. Valuation accounts? No actions to be taken.
I leave you with the deep green sea guitar riffs of Mr. Porl Thompson …