Rolling With The Punches

No matter how talented or experienced a trader you are, no matter how disciplined or cold-blooded, sometimes you just run into a patch of bad luck. Case in point was my NQ campaign which was happily trailing along about -1R away, but then got suddenly triggered on the Turkey coup drop lower late Friday.

I mean that takes some skill doesn’t it? The spike lower managed swipe my stop by merely a tick or so. And it hurts double today, as Erdogan is apparently a lot smarter than most may have given him credit for, fully leveraging the crisis to dispose of many of his political enemies. Clever play – game recognized! Of course as a response equities are now back from whence they originally came:

Personally I won’t be jumping in the fray here right now as I first would like to see a more pronounced correction. Whether it’ll happen is of course the question – I’d give that scenario 50% tops as that drop lower probably cleared out a bunch of trailing positions (yours truly included).

On the personal front I’ve got two tigers by the tail today and won’t be doing much in terms of trading. I’ll be monitoring the tape of courses and chime in if I see anything of interest. Watch the Zero closely today as it should offer us valuable clues as to whether or not the bulls are finally ready to get to third base on the equities front. It’s summer and light tape makes it easier for institutional players to bang the tape in the desired direction.