I’m seeing a bluff. In a poker game, you want to continue the play when you see a bluff; but in the stock market, you have to do the opposite. I folded.
Currently 89% cash. I practically liquidated everything except my long-term equity hold.
I may as well be the fool to sell so soon; but I’m quite content to rest here with 20% YTD gain.
I think that is why I sold, I don’t want to risk going back below my 20% YTD at this inflection point.
Yes, it is my contention that we are at an inflection point of either going up or going down.
If we have a down day or even a neutral day at market close, there will be an evening star formation which is a bearish reversal signal. Now, I may be jumping the gun or ahead of myself; but I prefer to sit back with cash and watch the show with pop-corn.
Good luck to all!
Below is the SPY daily chart. Notice that today bar is still green; but if it doesn’t take out yesterday high, we may have an evening star formation.Twitter