Extreme Greed and Overheated Market; Time to Walk Away
So while I've had some gains on this market, especially below the 4300 range, at this point I cannot explain where this extreme level of optimism and risk taking behavior is coming from and I think it is time for me to walk away.
While I can agree we are in a Bull Market, and I do not think at this point that we will be visiting the lows of 2022 without some major global catastrophe, I cannot get into any more movement upwards, and yet at the same time, I have decided continuing to try and catch the thrown knife is just going to lead to more issues for me.
I MIGHT go Short at 4500, since 4500 is the highest projection for 2023 from ANY market and economic viewpoint, but even that just doesn't feel promising enough to mess with any of this.
I've no idea what this rally is attached to other than AI excitement. The Forward Earnings of some companies are running at over 200x which is just absolute lunacy.
So, all things being said, at this point I am walking away, and likely will continue to walk away until we drop back to may 4350 or so, and see if some of the excessive money into the FANG+ drops out and begins to get into a wider investment sentiment into the market.
Safe trading if you stay in this, and remember your risk management plan.
While I can agree we are in a Bull Market, and I do not think at this point that we will be visiting the lows of 2022 without some major global catastrophe, I cannot get into any more movement upwards, and yet at the same time, I have decided continuing to try and catch the thrown knife is just going to lead to more issues for me.
I MIGHT go Short at 4500, since 4500 is the highest projection for 2023 from ANY market and economic viewpoint, but even that just doesn't feel promising enough to mess with any of this.
I've no idea what this rally is attached to other than AI excitement. The Forward Earnings of some companies are running at over 200x which is just absolute lunacy.
So, all things being said, at this point I am walking away, and likely will continue to walk away until we drop back to may 4350 or so, and see if some of the excessive money into the FANG+ drops out and begins to get into a wider investment sentiment into the market.
Safe trading if you stay in this, and remember your risk management plan.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.