And its financial impact could be worse. SPY chart pattern looked like it is starting the 3rd wave to the downside. If anyone is familiar with Elliot wave, the 3rd wave usually last longer than the other 4 waves.
But it doesn’t matter what we think or opinionated on today action; in my book, today action screams caution. I moved 65% of my position to cash. There was no thinking on my action; I just did what my trading signal told me.
You will be amazed at how much calmer you can be when you are not overly exposed in your portfolio. Your ability to see clearly on what the price action is trying to tell you without all the noise from your emotion/thought improves dramatically.
Remember, the market will always be here; you just need to have the cash to play it. When in doubt, stay in cash; that is my motto.
Be careful!
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