I was right about not getting excited yesterday about the selling. This morning the market catapulted from SPY’s 50 day EMA (119.29) till nearly the October high. Then shortly after 3 pm, news came out that Europe sweetened their QE to $2T. The market rocketed straight to the August high of 123.50, just 15 pennies shy of the 200 day EMA!
The much anticipated nightmare of the 200 day EMA test finally came true today. All along I was expecting it but only as a contingency, plan C. I thought it would happen but I was wishing it wouldn’t — otherwise why would I hold on to my trapped bear ETF’s?! The downside risk was just too great in the past 2 weeks if I went long (fear), or if I exited my bear ETF’s (greed).
My plan was to go all in if this epic day came. But I chickened out today. It happened near the end of the day and I really wasn’t prepared. I was thinking more like after AAPL reported earnings after the bell. Nevertheless, I did add 400 shares of SPXU.
After hours INTC beat but AAPL disappointed. Tomorrow is going to be interesting. Would the bullying by the bulls continue, or would it finally end?
Portfolio Value: $129,500