A compromise has been announced by the President, meaning that the US won’t go into default of its debt on Tuesday’s deadline.
This suggests a reprieve for the markets in terms of recent uncertainty.
In the face of this, economic figures aren’t showing anything particularly encouraging, so for now, while we’re still in earnings season, keep your powder dry. There’s nothing wrong with sitting on the sidelines and letting the market tip its hand to us. Right now I wouldn’t like to guess.
Remember, we like to trade when all the planets line up. There is no point in trying to guess – sometimes you may get lucky, and then the next time the market will wallop you! Stick to the plan, have faith in it, because it works. And staying out in the face of uncertainty is part of the plan too.
SPY
More updates this week – it’s bound to be interesting.
All the best
Guy