Sell everything? Buy everything in sight? What will tomorrow bring? Tomorrow, will they say that today was overdone? Already, s&p futures are up! AMZN had good numbers? Sub-prime: what a bummer. Even Alt-A, whatever, is getting a bad rap. Anyway, all day there was heavy selling. I don't understand why there were buyers all the way down. Maybe old habits die hard.
first of all, I am no expert. All I can do is share what I have been taught by traders who have experience in the markets. I have been told "The market is always right". In other words, my opinion or market bias is irrelevant, and probably a waste of effort and energy. It makes more sense to get better at reading market signals and going with whatever direction the market tells me. Don't predict, react. My associates are excited with the potential of Long and Short trades - Volatility in a word. I would hope the market continues to have good volatility as I enter the market in the next few weeks, God willing. Based on that, I would say to have only a Long Bias in this market environment would be a big mistake. Be balanced and prepare long and short ideas.