Cool your jets.
Some of you are in the BUY THE DIP camp and champing at the bit to make a heroically timed buy here. Others are in the APOCALYPSE camp and are eager to “short-the-world!“
What if both sides are wrong?
This is one of those times where I firmly believe patience will pay. Patience will allow market players to get back to the business of acting upon technicals and fundamentals, and less upon emotions. Charts will begin to take shape and reveal cleaner levels to key off for risk management purposes. Leaders in either direction will begin to show themselves.
Our #1 job is Risk Management. And to keep our cool whenever everyone else is losing theirs.
At this moment, I’ll be carefully tending my garden of positions and sticking to the plans as they were laid out when we got into the trades. Nothing changes from that point of view.
Markets change, but our carefully laid out plans that account for all situations from a risk management point of view never do.
There will be plenty of opportunities soon. In the meantime, enjoy the show.