Let’s not beat about the bush and call what happened during yesterday’s session as what it represents: a possible game changer. I’ve slipped in that weasly adjective as nothing in the world of trading is ever guaranteed.
However that said: Unless some miracle occurs today and the bulls drive the E-Mini back > 2750 the gist pretty much is up for the foreseeable future. Let me how you where it all went horribly wrong:
The market speaks to us in many ways and one of the most effective means of direct communication is how it measures up against our open campaigns. Now having been at this game for more time I care to admit I have developed a discipline of observing the probabilities of outcome at every stage. Which is in part why I keep posting on this blog, beyond an additional (small) source of income it forces me to express my views and trading activities as succinctly and clearly as possible.
This may sound a bit strange coming from a born German (and now proud U.S. citizen) but I’m actually quite a fan of Sir Winston Churchill as I was always fascinated by his irreverent personality. He had a very interesting upbringing as a child due to a rather complicated relationship with his then renowned father. What’s most compelling however, and what stands in stark contrast to the so called political leaders of today, is how he actively sought out seemingly unsurmountable challenges and then faced them head-on and without compromise throughout his entire life. He is remembered by many timeless quotes but here is one of my favorites:
Everyone apparently hates the Dollar now and continues to cheer its slow but steady demise. In a little over a year we went from nearly par with the EUR/USD to an exchange rate of 1.25 and the pace appears to be increasing. I’m literally heading to the ATM every single day now stashing as much Euros as possible as they most likely will cost me a little more tomorrow. It’s almost starting to feel a bit like living in Argentina, except that nobody else seems to care. Not surprisingly almost everything else, equities and commodities in particular, have responded strongly. After equities, are we now heading for a bull market in commodities? Let’s review where we are on [...]