Excellent point Steve made in the newsletter regarding the $SPX
and last year's seasonality action possibly being similar to this
year's and that if it is the same kind of thing that we would be in
for a deeper correction eventually.
An alternative view would be that we overshot the 50 day moving
average, just like we did this year in March, have now recovered
it, and will move higher from here. This would fly in the face of
seasonality, though there can be outlier years in which that
happens. In that scenario we would go higher and test the recent
highs.
I think that we need a rest but if there is anything that I've
learned in markets it is that they like to fool the most people on
a given day, week, etc. I had a great trade from the overshoot of
the 100 day ma to up around 4,450s. This overshot my previous
target of the gap fill at 4,432.99. In my other strategy, my
retirement allocations are in great shape as I trim and trailed
when we hit new highs in the SPX. This is a regular practice for me
when we get more overbought on the multi month time
frames.
On the downside now I'm watching the 50 day moving average
closely and there is a gap at 4,395.64, in addition to another gap
at 4,354.19. These are the types of notes I keep for my trading
journal. Really helpful for me for trade/investment planning as I
know what I will do if prices hit particular areas. Glad we can
share here.
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Excellent point Steve made in
Posted by fundamentalvalues on 24th of Sep 2021 at 08:23 am
Excellent point Steve made in the newsletter regarding the $SPX and last year's seasonality action possibly being similar to this year's and that if it is the same kind of thing that we would be in for a deeper correction eventually.
An alternative view would be that we overshot the 50 day moving average, just like we did this year in March, have now recovered it, and will move higher from here. This would fly in the face of seasonality, though there can be outlier years in which that happens. In that scenario we would go higher and test the recent highs.
I think that we need a rest but if there is anything that I've learned in markets it is that they like to fool the most people on a given day, week, etc. I had a great trade from the overshoot of the 100 day ma to up around 4,450s. This overshot my previous target of the gap fill at 4,432.99. In my other strategy, my retirement allocations are in great shape as I trim and trailed when we hit new highs in the SPX. This is a regular practice for me when we get more overbought on the multi month time frames.
On the downside now I'm watching the 50 day moving average closely and there is a gap at 4,395.64, in addition to another gap at 4,354.19. These are the types of notes I keep for my trading journal. Really helpful for me for trade/investment planning as I know what I will do if prices hit particular areas. Glad we can share here.