Indecision Bar For SPY

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

“Go confidently in the direction of your dreams. Live the life you have imagined.”  Henry David Thoreau

With the weakness setting in hard Wednesday and me going to a near full cash position I took the night off and went skiing with some friends before the tiny ski hill we call a ski hill here closes this weekend.

Charts need to repair this damage so never forget cash is a position.

We took some nice profits and locked in some small losses with one that was a bit larger than I’d hoped but it happens.

As tempting as it is to revenge trade and get those losses back right away, I’ve learned the hard way many times that you only end up giving more back.

Waiting it out and preserving cash while new setups form is the best action and those bounce plays can come at anytime, but perhaps not quite yet.

I don’t take many nights off from homework but sometimes it’s best to just not look for a couple days too deeply and let your emotions and the charts settle out.

SPY March 27, 2015SPY is chopping around here between the 100 and 50 day moving averages for now and we have a Doji bar close which often signals indecision but we do need a higher close tomorrow to tell us a bottom is in for sure.

For now, it’s just speculation.

I bought 10 SPY weekly 205 puts at 0.71 as SPY found resistance at the 50 day but they didn’t really work so I sold them at the close for 0.59.

I’m just testing the market very small for now off levels and I did not have a perfect entry and took a small loss as a result.

I test things in very small size sometimes and that’s all this was.

If you’ve enjoyed this short intro to my nightly letter then why not subscribe at www.wizzentrading.com

I keep words to a minimum and valuable information to the max.

Have a splendid evening and enjoy life while we wait for better signals.

Warren

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