The turnips not just caught fire, they sent a flash message, "WARNING, if in 10 minutes 1775 is not taken out, last week's support (1772) becomes this week's resistance". As I was typing I watched us being repulsed again from just under 1770, and made the call, took everything but the kitchen sink off the table, and since few additional indicators were flashing furiously, I found it necessary to repeat that warning few times in the next 30 minutes. I had about six different indicators turning on me between 1:00 and 1:30, indicating an impending semi-disaster. The trick was to admit rapidly my error from yesterday and earlier in the day (when I thought we would go to a least 1790 if not somewhat higher), and more importantly, take immediate action. Capital preservation is the game. I could always jump back in if the market then suddenly turned around and took out 1775 and those six additional indicators, by some miracle turned as well. Around noon, I still was working under the assumption that we will actually turn green (in the Naz, the Dow at 1:30 was still flying high...) in the afternoon. That assumption proved to be wrong.
Zeev |
