No Easy Answers

Yet another bloody trading session and, as you can see, this time we closed at new lows right at the bottom end of our downtrend.

It will be very interesting to see what unfolds next. I wish I could paint a roadmap for all of us to trade by, but we are truly in unusual territory and I'd be remiss not to at least admit that fact. Like many of you, I'm searching for the best options to take and there are no easy answers.

Looking over just my indicators this afternoon (including that huge spike in gold), it suggests to me that we should be prepared to see at least one, if not several attempts to reverse course near these levels. There may or may not be a trade there (depending on your own strategy and risk tolerance), and frankly the biggest question for me remains whether it is right to sell any strength we see. More on that in due time.

Like always, let's keep our heads up and continue to let the market show us the way. If a bottom is forming, we'll need to see a lot of strength soon to confirm it. Otherwise expect more of the same.