Monkey Throw Dart: Death By Whipsaw?

Monday, February 4, 2013

Death By Whipsaw?



The market seems to be making mincemeat of MensaMonkey by causing MM to buy high and sell low since the beginning of the year.  The third trade in almost as many weeks was triggered fifteen minutes before the close today when MM dumped the QQQ's and went right back to the PSQ.  Since the QQQ's have remained in a tight channel, the damage has not reached the point of no return...yet. 
 
 MensaMonkey is not concerned as mechanical systems have no emotions, although he calmly points out, through an array of 1's and 0's along with flashing green and red lights, that this is the first time that the short-term and long-term signals have flashed "sell" at the same time this year. 
 
 
Was MM just a little bit early when he was calling for a major market meltdown?  Was he seeing a February nose-dive back in January?  I don't know the answer to that, but I have no choice but to follow the fickle finger of this hyperactive "market-timer". 



 The current trade is posted in the left sidebar, and the year to date results will be posted shortly.  I can tell you that MM is in the "red" by at least 2%,  Not a great start but price action is what it is, and eventually a trend worth following will emerge.  If not, I may have to start thinking for myself...and I don't really want to do that.