It’s just a big picture but those are big waves! If you rode a wave successfully
like that in markets yesterday you were probably pretty pumped-up to try again
today. But, wipe-outs happen.
Okay, enough metaphors. This was a pretty
ugly day. I day-traded most of the day and was marveling at the low volume and
choppiness until the last hour when “BAM!” all hell broke loose.
This is
what a bear market can do to you. If you were short yesterday you suffered like
our surfer friend with that countertrend rally. But, you had to expect that with
markets oversold! Today it’s back to reality, or what passes for it “today”.
Tomorrow we go at one more time. Wax your boards!
Volume remains heavy
and breadth is as negative today as positive yesterday. [We have a village
working on/over Yahoo. Maybe they’ll listen to us if not to MSFT.]
For investors on Main Street things must be very
unsettling if not scary. But, as usual tomorrow is another day and the week’s
not over. This market is becoming one gigantic thrill ride at the Pipeline.
One thing that always bothers me is pundits and others complaining about
people [er, like me?] who short stocks from time to time and cheer bad news. I
can be sarcastic and downright cynical as many know but I don’t cheer bad news.
However, it’s never mentioned by bulls cheering as large companies’ layoff
thousands of workers causing that stock to rise. It can be odd sometimes.
Anyway, the job is to describe conditions as I think they are and
communicate that to you. Let the chips [blue?] fall where they may.
Have
a pleasant evening.
Disclaimer: Among other issues the ETF Digest
maintains long or short positions in: SPY, SDS, MZZ, IWM, TWM, QQQQ,
QLD, XLY, SCC, XLI, SIJ, XLB, SMN, IYR, SRS, GLD, DBP, DBA, DAG, EFA, EFU, EEM, EEV, ILF, EWA, EWC, EWZ, RSX, FXI, FXP, EWJ and EWV.
