Market Update

It looks like we are finally getting that pullback, however the real news is that many of the inconsistencies in the market earlier today have or are now resolving.

As a quick way of showing the market until I get my next post out, here's my custom tick indicator.

The NYSE TICK Custom Indicator from positive to negative.

I'll be finishing the larger post in a few minutes.

As far as actions, I don't see a whole lot to do, at least until we get a pullback with positive/accumulation signals, then trades like AAPL long/calls might be considered or others.

You might also consider taking profits or closing any trading short positions you might be thinking about trying to trade around. As far as I'm concerned, I think we have a big enough base that it makes more sense now than it initially did to trade around some of the shorter term trading positions.

As far as longer term trending or core positions/shorts, I see very little reason to move those.

We are on a very slippery slope and while there's enough base in place to expect a bounce and I addressed the intensity of the bounce yesterday, we also have more than enough damage in place to have an AAPL-moment when it seemed like trading around short term positions were a good idea, but there was so much damage short term signals gave way and AAPL broke to lose nearly half of its value. For core positions, I don't see the point in taking that risk, especially as more and more things go wrong such as Emerging markets which I think may have caused this morning's strange signals and certainly liquidity situations. Volatility will be extra high as we get nearly daily Central bank actions largely from Emerging Markets as they struggle to cope with the massive outflows of capital. We even have some developed markets that are HIGHLY SUSPECT, that's the kind of stuff that creates Lehman moments.