TOP OF THE MARKET; DOWNWARD TRENDThroughout the past year as the market swung up and down due to various news that supposedly influenced the decisions of traders, one thing that proved consistent was technical analysis. I use this method as my sole method of trading decisions because if you truly believe that machines and HFT is now prominent in the trading, then you have to believe that they operate with some sort of logic regardless of what is happening in the world.
Because of this, the market variations of the past year have actually been predictable as support and resistance lines are hit. As the year came to an end and the Fed's decision to raise rates became the forefront of discussion until it was actualized, a downward trend in the markets formed. Regardless of the reasons, this fact remains.
As a result, I am short the S&P 500 and any other benchmark going into the year 2016.
