I have noted over the past couple of months that the world is a pretty tense place right now.
It also seems like there are a lot of entities using fear tactics to further their own agenda. What should we really concern ourselves with and what is merely smoke and mirrors? We will never know what is real until after the fact so the best way is to keep things in context.
One of my mentors gave me some great advice: “You can tell yourself this in the morning…All but once, the world is not going to end today.” It is a bit facetious, but it’s a valuable lesson. If you simply watch television (financial or mainstream), surf the Internet, etc. you may think otherwise.
There is always a story that is going to change EVERYTHING! Iran, Syria, Russia, Ukraine, Ebola, ISIS, take your pick. It’s true that it’s not like the world is holding hands singing Kumbaya right now, but if you have ever read a history book, I don’t know that it ever has.
Our access to information (valid or inflated) is unparalleled at this moment. It was merely the illusion of safety that existed in years or generations past. I am not sure the world is inherently a more or less dangerous place but I do know that you will exhaust yourself and probably your trading account chasing every news story like Chicken Little.
Allow yourself to be objective and let the actual market, where people put their money where their mouth is (ES, VIX, etc.), be your barometer.
