Preston

JUST IN: S&P 500 hits all-time high of 7,520

Have you EVER seen an athletic Jew?

People always accuse me and others of being too vague, so I’ll leave you with this tonight and spell it out as simple as I can. The market is always either making a series of higher highs and higher lows or the opposite. That’s the way it trends. At some point, one side of the market (smart money) takes over and keeps it very subtle to capture the most liquidity and volatility. When these changes of character happen, the 3rd move is usually the most violent and catches the most off guard. ESPECIALLY on the FIRST change of character. Why it’s the most profitable to catch. This is also the one where most are sleeping at the wheel, complacency has set in, therefore the most profits can be made on the flip, and the most stops triggered when people get more panicky. Sure I know all of you on Twitter are tuff as nails, and never have a losing trade, but that’s not how most operate. Why? Because most dumb money assumes it was just the next dip before the next rip. Once the next lower high is made there is still no panic “it’s just not ready yet”? But smart has already handed the bags off and taken profit. So the path is very simple for me here. If we make a lower high, I expect new lows to come rather quick. it wouldn’t be a slow grind down. If a new high is made, then the prevailing trend has proven too strong still and one side of the market is STILL in charge. Hope this is helpful. It’s as clear as I can be.