For the record, I did not get in the market on Monday when the RSI on the 60min charts dropped below 30. I’ve been lucky the last two times I’ve gone long per the 60min trading strategy so I just figured I’d sit it out this time. Besides that, I have ‘sell/avoid’ signals in the daily charts of just about everything so why take the risk?
However, I did roll the dice with some TQQQ late in today’s session, for obvious reasons. AAPL’s earnings and forecast didn’t go my way, so now I’m seriously under water with those shares. My only saving grace is that I bought fewer than 20 shares as a possible entry position. If things had worked out, I would have added more and scaled in. Not the first time I’ve been upside down and worked my way out over time. I wouldn’t be surprised if I get out of these close to break even sometime tomorrow.
Breadth indicators are close to giving extreme oversold signals and if the market does what I expect it to do tomorrow, then things like Zweig Breadth Thrust will drop into extreme oversold territory and a bounce of one degree or another will follow so no reason for me to sell until I see if the bounce does materialize on Thursday/Friday.
Do not try this at home.