Point taken, and I did try to pick a bottom today with that in mind. I just didn't expect the 'cliff'. Fortunately tight stops work well in either situation.
Maximum pain hypothesis indeed for most I suspect.
Maximum pain hypothesis indeed for most I suspect.
Quote from trefoil:
You do realize that 99% of the "fools" on ET agree with you? You'd have to be seriously reading challenged to think otherwise. Just do a count in this thread.
As to the action this morning, that was a squeeze on all fronts: of the longs in the stock markets, and the shorts in gold. At this point the gold chart looks like the arc of an ICBM. I was one of the shorts caught, but as I hedged properly the pain was bearable, and as of now, for me, things are looking a lot better.
The action in the market hasn't changed: investor psychology is the same as it always was. I entered my son in that trading contest they were advertising up in the Trading forum, and told him to expect a gap up this morning followed by a fade as the economic backdrop took over. Which is more or less how it went, except for the fade being more like a swan dive off a cliff.
The trading game only changes for those that don't realize the same patterns happen over and over and over again. HFT is just market-making in this electronic age. Shouldn't affect the retail trader at all.
As for doomsday: there's always another one around the corner. The international economic situation is desperate, as usual.