I just love some of you guys' comments - they totally sum up my thinking as well. This could be a good time to buy like mad, sell like mad, or just stay in cash! But, we won't know the answer for another year or so. I always keep in mind the simple concept that there is always somebody on the other side of any trade. My conviction as a seller is balanced by someone else's conviction as a buyer. I think sometimes the 'explanations' for a correction or bear market only become evident in hindsight. When you're in the middle of a transition, there are no clear explanations, only a lot of questions.
This a a great post drcha. You've really hit the nail on the head! Trading looks easy. However psychological preparation can be a lifetime in the making. There is a reason professional athletes are actively recruited to be traders. It's not because they know patterns or support levels it's because they have the right mental preparation. They have demonstrated they have a dedication to self improvement and the perseverance to succeed. Personally I grew up lower middle class (single mother family from about 8yrs old). But I wanted to change this and didn't want to struggle financially when I was older. I had a job when I was 12yrs old. I finished school, I paid my own way through university (working part time), I made it on to a graduate program into banking after that. I now have a great job. This was through a determination to succeed and be the best I could be. I'm absolutely positive that this same drive and the will to win helps me with my trading....
Revenues are probably good for market movement since most investors know nothing about a company other than "Did they make 'money' or lose it this year"? But using just revenue to make an individual evaluation of a company is a bad idea. Learning how to read and evaluate the financial documents and SEC filings (and how to find it all). Are important things if you look at individual companies. Not saying you don't know that. Just pointing it out.
Traders often fail because of poor risk management, lack of discipline, chasing losses, or trading without a solid plan.