"Bull Day 3" - The Bull Prevails in Spite of Our Thinking and Emotions. The Technicals tell the story. The Market will do what it Wants to Do, Not what we Think it Ought to Do.
3M, Daily - The underlying trend is Bearish and needs to be kept in mind. All bullish positions should be guarded carefully and considered short term. This Bull Potato has very shallow thrust or angle of attack. The Thrust Angle is on 15° which is weak. Potato Thrust is a new concept that I have started to study and I believe it will be helpful in assessing strength of direction.
20D, 60m. - Bullish Potato contrary to the Primary Trend as demonstrated in the 3M, Daily. This is a relative short term directional trend and should be accepted as that. This is not a longer term reversal of market direction. This is not a "Bottom."
1D, 5m - First of all this was a very choppy day with lots of ups and downs. The "JA" play was tempting on early morning action. Our observation is that we need to be skeptical at the opening. In addition we need to "go with the flow". That is we need to observe the current short term bullish trend of the market and take positions that flow in that direction. In other words the play near mid day made more sense and would have been profitable (it went with the bullish trend). There may be exceptions to this but we need to put the odds in our favor.Bottom line at this point is that we are in a Secular Long Term Bear Market as well as an Intermediate Term Bear Market punctuated by a very short term Bull Rally. Our decisions as traders need to keep these facts in mind.
Potato Trader Opinions
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