(Confessions of a Stock Operator)
Start Date: 9/20/2018
Yesterday we investors saw something we haven’t experienced in quite some time. We saw a lot of ‘red’ flash across our screens. To be clear, the SPY had a pull back to the tune of 1.2%.
And while seeing your positions (if you’re long) lose value isn’t a good feeling at all; pullbacks and consolidations are all healthy behaviors for the overall stock market. Not to throw in a cliché here but like they say; “stocks don’t go up in a straight line” and neither does the broader market.
Pullbacks, in essence, are a part of the course.
Pullbacks also represent opportunities to finally get into that trade that got away from you.
How Will the Short Me Tina Community Position themselves?
After hitting a high of 240.32, the S&P 500 has pulled back some. What’s next for this market? I can with confidence say; I am not sure because like I blogged about several months ago, the markets are uncertain. Get accustomed to that!
However, if I am to use my charts as a guide, I would say we hit our first level of support today at the 235 levels.
For me to remain confident in this bull market; I would like to see another pullback to the 232-233 area.
If it dips to 228 and consolidates in this area for several weeks/months; I would begin calling the market a raging bull. And will begin to go all-in!
Those are my levels.
Tina "ShortMeTina" Ley (pronounced Lee) holds a Bachelor of Arts in Forensic Psychology and a Master's of Science in Mental Health Counseling and has been a stock market participant for over a decade. Currently a Full-Time Trader and Blogger of all things financial.