I received a very unexpected preliminary change in my trading system on Friday which caused me to trim down on my shorts after the close. I’ll need to see a bullish close on Monday to confirm that change and move into the bull camp, and that may be difficult now that we’re overbought on the NYSE Advance/Decline chart below.
I wouldn’t rule out a trend change at this point as there does seem to be a very large number of bears that were convinced this market was doomed, but I need to see a little more than a one day wonder like Friday’s action. I’ll have some long suggestions tomorrow that I’m watching but right now I’m still short, but with reduced position. It’s funny because when I saw the trend change I almost convinced myself just to hold onto the trading shares I added the day before. Anytime that I find myself making excuses for any positionI immediately go place the order to do the opposite of what I was trying to convince myself to do. It almost always ends up being the smart move.
I switched themes on zentrader and I’m not completely sold but I felt it was time to make a change. I’m still playing around with the code on this them to see if it has the functionality that I want and it’s slow going. Basically I’m warning you that you may come and it’s one theme one day and another the next.
