The continuing back and forth squabbling going on in Europe continues to be a real problem for the markets....
The continuing back and forth squabbling going on in Europe continues to be a real problem for the markets.
The risk on, risk off trade is becoming a daily ritual for many traders. We want to refer to our long term Trade Triangles to continue to keep us on the right course.
If you didn't have a chance to watch our MarketClub TV show last night, you may want to take some time and look at what we were saying and what the markets are doing today.
We want to be very watchful of the S&P 500 Index, as a move and close below the 1200 level should be viewed as topping action for this index.
It is all going to come down to tomorrow, and how we close in the markets. I believe that the politicians in Europe are really no different from the politicians on this side of the pond. They do not want to make a decision that would cost them their job. We have said from the beginning that we thought Europe was a disaster, as you have many different countries pulled together in alliance called the euro. Every country in Europe is going to hunker down in their own sovereignty.
Greece is going to default and probably fall into chaos. It is unavoidable at this stage of the game. Let's hope things remain a little calmer here in the United States.