What do we do now?

Risk is high. Market's been trading sideways for a while, but now it looks like it's rolling over. There is lots of overhead supply created by people buying in the range and now stuck with a loss. The longer we stay below the range the more willing these people will be to sell and that can create even more selling. For now even though it looks like we are going to roll over,  I would not go and short yet, wait for a bounce, second entry is higher probability trade. Staying away from the long side now except for pickings in some areas, like metals, that can move independently of the market.

follow up on MCP

                              still stalking

Friday's News : Investigation of Molycorp, Inc. ;

there was lots of overhead supply before the news, now even more scared people, so it's going to be interesting to watch the price action next week
do we find support and turn around, or do we follow through on the gap, break down through support and accelerate, or do we stay in the range and find the fairest value in there for awhile

How Great Can You Be?

Some days trading will feel like a lion fight.

Remember that if you are going to fight every day, then you are going to get wounded from time to time and you will have scars. Don’t lick your wounds….. and realise 
that the scars you wear are a sign of a competitor. Just because you have a 
bad day fighting, does not mean you don’t know how to roar. 

http://vimeo.com/43266438#

The first secret of success.

"People become really quite remarkable when they start
thinking that they can do things. When they believe in
themselves they have the first secret of success."
- Norman Vincent Peale

" whatever you can conceive and believe you can achieve "

Rare Earth ~ MCP

                               possible transition

"You say you want a revolution. Well, you know we all want to change the world"

Beatles -1968


Q: What to focus on now ?

A: Your task :  " to build a better world "  God said. 

I answered,  " How?  The world is such a large place, so complicated now ; And I so small and useless am, there's nothing I can do. "  

But God in all His wisdom said,  " Just build a better YOU. "

How?  ~ You can build a better you and tap your amazing potential by setting realistic goals. It's never too late because it's never anything other than Now.
 ~ Miro ~

Pre-Market Update

"There’s little reason to doubt that the Friday-Monday Effect won’t dominate market action today. For those who missed Friday’s reports, the Friday Effect says that when the market ends on a strong up move on Friday, that trend continues on Monday. The same thing often happens on the downside as well."

 

principles which should be followed for success

~ trade the best markets, trade with the trend, bet small, use stop losses, cut losses, ride winners, don’t over-trade, be patient, be disciplined, be happy

 In a strange way, success comes from happiness. Most people think happiness comes from success.
~ Miro ~  

S&P 500

                                  click to enlarge