As I look over my blog entries from the last week or two, I can see how a reader might become frustrated and confused about some of my calls and trading decisions and my analysis of the markets. Unfortunately, the fact is that the markets are a bit confusing right now (ask any financial analyst), and analyzing them can be a complex process. In my blog posts I try to summarize this analysis in a succinct and concise manner without a lot of technical detail. I realize this leaves a lot of questions unanswered, but this is not a financial "chit-chat" website (there are plenty of those on the internet for anyone who is interested). The purpose of my blog posts is to "cut to the chase" in terms of market directions and how we should trade them.
The current congestion and lack of direction in many markets right now is likely reflecting some of the confusion and chaos surrounding people's opinion of the new Trump presidency. The mainstream media seems to be criticizing and questioning Mr. Trump's every move; and to make matters worse, mainstream media and alternative media are now constantly pointing fingers and accusing each other of being "fake news". It's no wonder so many people are confused. Equity markets were clearly pro-Trump after the election, but that enthusiasm has leveled off since mid-December as investors try to figure out the financial ramifications of a Trump presidency. Hopefully, once the hoopla surrounding the election and inauguration fades away, investor uncertainty will ease and the markets will start to manifest some clear directional trends.