Monday night I called for a mini rally, and come Tuesday morning that rally had come and gone. To be honest, it wasn’t that much of a brilliant call because many saw this rally coming already; nonetheless, the market action on Tuesday furthered confirmed the extremely bearish market we are in right now.
As I stated on Twitter, I am looking to hold onto a few of my prize possession stocks (even if they are in the red), for a hopeful ride upward in the long-term.
All that being said, it looks like the market has officially challenged traders of all kinds. No longer is the volatility as easy to trade and holding onto certain stocks could very easily payoff or NOT in the long-term.
Trying to pick and choose trends in this market is just as useful as a car in traffic who constantly changes lanes only to be pushed further back in the jam – you know who you are.
While there is nothing wrong with sitting in cash during these times, quite honestly this market is where the real money is made. Even if you aren’t physically experiencing it right now, the key is to be building positions and gearing up for when the market strikes… and most of us have no idea when that will happen.