Morning everyone...please just let what is about to happen, just happen. the markets are here everyday..
Good Morning all
There is a global market correction that has just begun for them, and is about in the middle for us. When i wrote about the carnage yet to come, well here it is folks. I have lived thru all these types of selloffs for 30 years, this time is not different it's normal. It just looks different. There's always a "trigger" something that creates panic selling pushing the averages lower then you all expect because that's the mania of the markets, the mania of the traders in the pits. This is and always will be a sell first and ask questions later type market. No one wants to waste their time questioning what is happening right now, so they sell and sell fast. Hence this crushing correction. I told you all that once the Bullish Percents all move in tandem into columns of O's together it becomes a freight train running amok down the tracks at breakneck speed. Nothing can stop the inertia nothing can stop it till it crashes right into a brick wall. Now i ask you all, you had 2 full months to prepare for this event, right? You are in cash every evening not worrying about waking up to this type of a morning, right? You slept last night like a baby because you had an alert and you did something about it well before the event, right? Traders that are long term buyers and holders are in massive pain today. The sentiment and perception has certainly changed over the last couple of months and that's reflected right here in today's selloff. While the sub prime woes are here to stay for a while they too will go away soon. The Financials make up a large portion of the NYSE world of stocks and that's why we are pushing lower each day. While the excessive selloff in the brokers will come to a halt soon no one can predict when it will turn around. Let me say to you all right here and right now. ALL BULLISH PERCENTS as i write this are cascading to the Green Zone at light speed. The answer to this correction is to be ready to buy the dip when the BP's reverse back up. As bad as this looks right now, it doesn't look any worse then any "other" correction I've been involved with before. Look we have not seen "the bottom yet"! The bottom forms over time with tests and re tests of certain technical levels on the charts where I'll be able to "see" the forest for the trees, well before the maddening crowd. There is nothing i can do or say today to sooth anyone's nerves that did not take the proper action i warned about months ago. But i can say let it finish, let it crash and burn, we'll be there at the lows.
Today because of the massive selloff in the world markets it makes no sense to put buy triggers or sell triggers in stocks.
Let me say there are days when stepping aside, sitting on your hands makes a world of sense to me. I am not of the hari kari bent. The markets are here everyday folks, unless i see a good solid trade i am not doing anything today. I'll wait for a perfect set up. Shorting here is ridiculous since the open will be straight down and we never chase gaps in either direction. So if you have the stomach for it, we'll pick up some countertrend trades in the QID or the DXD. We did very well yesterday just trading the volatility using the QID. It's liquid and easy to trade. So let's watch CNBC talk about this crash ad infinitum all day long. I did want to mention that for the first time in a long time we have Fed Funds Futures calling for a rate cut by December. I told you all that the FED will change their statement this meeting on August 7th a one day meeting. This will be the trigger & signal to go long this market.
You all have a real nice day today..see you in the room..
later
jerry & inna
Jerry Olson
The Jog Group LLC
jerryo34@verizon.net
