Friday, October 20th, 2017

Back in the saddle again?

IF you are not an Aerosmith fan you don’t know what I am talking about here. Its a great song. Listen to Classic FM stations you will know what I mean. Anyways we had a nasty sell off  in the Stock market and it it made us feel very vulnerable due to the ravages of the market. It wiped out $10,000 of  my own account value in just few days, its not a loss, but a draw down. Its painful. If you felt the same pain, I am with you.

There was not  much you can do. Well you can but it gets complicated. The good news today was that GDP rose for the first time since President Obama took office taking the  ” R ” word out from our daily lives for a while I hope. First time our economy grew in a year from that depressive  1930’s era  known as Bush years. What a relief it should be now. The sell-off showed us the same negative sentiment that we saw in Jan 2009. There was negativity all over town. That’s when the market got so over sold that it had nowhere to go but up.

Here is a quick,comprehensive, video of the general market take and see what you think. Add you comments at the bottom and let me know.


In this Rip_your_face_off rally it killed all the shorts in the wake. It went up about 200 points in one day.  The momentum should continue as the market is very oversold and $SPX is back in the saddle again. The other indexes are lagging behind. $RUT is the worst performer to date.  If this rally continues we should be making higher highs and higher lows and closing the year on a happy note. I am a Optimist and I trade with optimism. Unless $RUT performs and get over 600 levels we should not be feeling giddy so soon. Click on chart to enlarge.

SPX 102909


One Response to “Back in the saddle again?”


Check out what others are saying about this post...
  1. […] rectangle chart pattern that follows after a huge move and usually resolves to the upside. The long term trend is solidly to the upside and the short term is sideways. How long this will continue ? Who knows. […]

Speak Your Mind

Tell us what you're thinking...
and oh, if you want a pic to show with your comment, go get a gravatar!