Black Thursday

Hey hey hey, long time no speak! No political commentary this time, other to say that after a year of Obamanomics, the unemployment rate is still near 10 percent. Mission accomplished!

One thing that is dropping is the stock market, but no need to panic just yet. The market is still technically long-term positive, although its crossed below its 70-day MA for only the second time this year. The first time, in February, was after a big rise and did not last long enough to trigger any new buy signals. Basically, a consolidation period before the current breakout.

Although I'm flush with cash on the sidelines, we are still at least three weeks away before finding out whether any legitimate buy signals actually emerge. I would contend that outside of day trades and sniping, this is absolutely the worst time to get into the market.

The other lesson here today is to never never never trust the computer to stop loss for you. If you think it's going to drop, sell at market NOW and dictate the terms of your surrender. Don't wait for the stop to trigger and let the market choose an even lower selling point for you.

Looks like a fun few weeks ahead, indeed!