The market never ceases to amaze me. Here we have the Economy visibly crumbling beneath our feet. Earnings recession, Massive oil builds. Major multinational corporations are missing earnings and blowing up. Just this week Walmart missed and plummeted 10% in a day erasing around $84B, one of the biggest down moves ever for the behemoth.
The Feds hyper-accommodative monetary policy has poisoned the waters. The market rallies on bad news, sells off on good. Whipsaws. Directionless: with no leadership from the fed, algos dominate, all stops massacred.
This environment is treacherous. Major hedge funds are failing to navigate the chaos and are blowing up. The volatility is extreme. At night when all of the volume dries the PPT will work magic and rally 100s of points, only to see the entire rally vanish into official open..
What to do? What can you do? The market is too extreme and unpredictable to time. The next major downdraft will likely occur at random. A black swan with massive repercussions. Long Term Technicals still suggest we are in a downtrend. With the recent rally what has really changed? I am a fundamental trader at heart and the fundamentals only continue to deteriorate daily.
Protect Yourself. Survive the Interim. Stay the Course.
The greater the fight, the more rewarding the victory!