Greetings from Madrid, where I’ve been on a very rare (but highly enjoyable) corporate hospitality occasion for the weekend!
On Wednesday the S&P touched its 200 day moving average, flinched on Thursday – as I described to my Private Group and then on Friday it slammed through for the first time since March (forgive my video today where I got the days mixed up!).
Now this is a particularly sensitive time because in March the index popped straight back up and there could yet be some further indecision around this perceived critical level.
In practical terms this means a heightened likelihood of whipsaws, so please be sure to focus only on AAA setups which are technical in nature and do not display a propensity for long tails.
It also means that you should not be betting the farm in such conditions.
Simple rules that will make all the difference.
Even in this market I’ve heard from several members who are scoring over 80% win ratios, which goes to show how powerful the OVI method is, but even with that, I caution everyone to play with lower stakes in these conditions, no matter what.
Today Glenn is taking the reins again, and I’ll be back for next week’s review.