Hey Guys,
The market can't make up its mind which way it wants to go. It's been making surges in opposite directions every day or two over the last few weeks. Today's surge is upward, with the S&P 500 around 6,630 right now.
A few people have asked me whether I try to analyze market conditions before making trades. As you can tell from the current market, it's very hard to predict what's coming next. One moment there seems to be a "gloomy" feel, and the next the market is spiking upward. So I keep it simple and stick to the trading plan without trying to hyper-analyze market conditions. After all, the backtested approach called for simply following the trading strategy rules, and it therefore didn't discretionarily change its approach based on market conditions. My goal is simply to stay in lock step with the backtested approach.
And today, that backtested approach happens not to have generated any new trades. I already have a handful of active positions in each of my accounts, though, so we'll wait and see how those turn out.
If you have any questions, just reply directly to this email.
Eric