I'm definitely now long at the moment. 1) The S&P's volatility remains elevated. Such high volatility after a crash (August 24) is not bullish. 2) Yellen's decision to keep investors in the dark about a future policy change is bearish. 3) Crashes like the one on August 24 tend to be followed by retests. http://investingtrack.com/how-this-correction-will-play-out-part-three/
I'm long only via options, assuming the large collection of shorts will get taken to the woodshed on a retest of 2020-2030. When the sentiment starts to turn to "well maybe things aren't as bad as they seem" as a result of dumb money seeing a rally (even if its a short squeeze) then I'll get short. Overall I'm bearish.
Suddenly on Saturday a couple of Fed officials (Williams and Lacker) are again calling for a 2015 rate hike. I can't imagine that would be good for sentiment when stocks open for trading on Monday. So probably would have been wise to not be long this weekend. I'm flat. http://finance.yahoo.com/news/feds-williams-still-sees-2015-173341357.html http://finance.yahoo.com/news/feds-lacker-says-economy-strong-124504109.html
I'm short and looking for a nice red day on Monday!! This market will re-test the recent lows. I just hope I don't get squeezed out of my positions before it does
Not what I was thinking would happen at all. The futures did open flat and dropped .5%. Plenty of time to get out/ profit.