Here's my prescient post from earlier this week: "Rollover baby"
Get it through your head that fundamentals don't work in this market! The hedge funds control all the velocity of money (the "day to day" volume) and they are about as disciplined as Michael Jackson at a summer camp for 4th graders.
You need to use technical analysis (TA) to keep your discipline and conviction. Set stops and limits and let the market swings come to you. Watch for clear break outs and break downs (NO DIRECTIONAL BETS, unless you're willing to average down many times on the fake outs you'll encounter). Use multiple time frames when using TA, you must look at the long terms support and resistance you will likely encounter on the shorter time frames.
One day fundamentals will matter again, but not right now. Besides the overall macro fundamentals are so skewed in favor of the bears that EVERY rally must ultimately be sold when we hit a "frothy" top (see SPY at 920). I will only start "investing" again off fundamentals once we've stabilized the 20, 50 and 100 day moving averages.
As Brian says: "The market doesn't care what you think. Listen to the message of the market."
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