Did you listen to the experts ?This is what the experts say about the market !
I agree to average up in stages and byte size that you can handle. Only Mr Market knows if this is a false breakout and they won't tell you , right ? So, beside having a trailing stop loss to protect your capital, make sure you do not sink your entire kitchen into the market , assuming that it has recovered. I wish I had a crystal ball to confirm but I do not so I too will be buying in cautiously and optimistically.
China released a really lousy sets of numbers , 35.7 for its manufacturing PMI , a 14.3% drop from last month. If logic prevails , bad data = bad stock market performance , then traders's job would be an easy one. The fact that there can be so many macroeconomic, political factors that drives the stock market , focusing too much can result in analysis paralysis.
Chart does not argue, it present the facts as it is , in your face , whether you agree or not, accept or not. That is the truth , something that you have to face it when dealing with the market.
Trend line gives me an unbiased view , not 100% accuracy but a higher probability of winning chance as compared to others I have used. And like I said, use whatever indicators or methods that you are comfortable with. Some are good in analysing news and profit from it while others excel in mapping decades of historical pattern. To each his own, most important is to be happy and make some money the way.
Happy trading , guys !!!
