I wrote a couple of weeks back about the market putting in a bottom. Oh boy I was only off by about 4000 points in the Dow :). Yes I was very wrong but the beauty of it is that as a trader I have learned that the market has to confirm my bias. The price action wasn’t there so I took my rip and moved on.

This market while being so out of control has provided great opportunities to make easy money for us traders. I cannot even begin to imagine the headache fund managers are having trying to put a ton of money to work. I mean seriously, the Dow is down 2000 points in 7-8 sessions and the bottom is nowhere to be seen. But there is hope. Yesterday we broke the pattern we had established earlier in the week of selling off hard in the last hour of trading. For the first time the market caught a bid into the close and had some serious volume to it. My only concern is that there was a big down tick right in the last 10 minutes of the close. It almost seemed like no one wanted to go home with a long position.

Next week should be interesting as there should be a ton of volatility. Go over your list of trades in which you will be aggressive. Visualize those trades and prepare your mind to make that play that will make your month/year. And no the market is not going to 0. For everyone’s sake I certainly hope not. Get some rest everyone, next week should be fun.