‘Mechanical ‘ sell signals have a great track record for producing profits, but the waiting time lately has become tortuous. This could be because the white-shoe racketeers who rig the markets have lacked sufficient “news,” good or bad, to trigger the wild swings needed to steal from panicky retail investors. Trump’s bloviations have lost their punch, and Fed-watching has devolved into something like Kremlinology, too arcane to parse. Be that as it may, the futures remain on-target for a further fall to at least 6720.00. I canceled a corresponding short in QQQ Friday on the hunch that it would take hours to grind out a relatively small profit. That is what happened, and don’t be surprised if Monday and the week ahead offer more of the same. The big moves have come early in the week lately, presumably because it takes a few days for lack of mass indecision and uncertainty to slip into its by-now-familiar rut. _______ UPDATE (Feb 3, 3:59 pm.): Do you see the 6720.00 target boldfaced above? It not only correctly and confidently predicted the trend and the nasty, 155-point plunge that followed, it also caught the low of the dive within 1.75 points. Only two subscribers appear to have noticed any of this, and one of them, a novice with an extremely erratic track record, caught a profitable ride worth $3000 from within a hair of the low. If you got long there yourself and rode it to the top, the trade would have produced an intraday gain of $6500 per contract. _______ UPDATE (Mar 5) Bears turned gutless after pounding the futures overnight. The resulting short-squeeze looked like it would top at 6911.50 to end yet another week of gratuitous spasms.
ESH26 – March E-Mini S&P (Last:6848.00)
