Master Don Juan
- Sep 22, 2006
- Reaction score
- New England
More fed shinanigans tody. an emergency 50 bip rate cut today ; the first since 2008. Powell claims its to dampen the economic effects of COVID19, but we all know its because stocks took one of the biggest drops in a week in decades. (certainly, since I started trading). Mnuchin also floats the idea of shutting down markets, so clearly the administration is politically incentivized to keep stocks up.
But what makes me bearish in the short term is that in the last 10 min of trading, we saw even more fading of the previous 3pm rally. So everything did a massive U turn AFTER a massive rate cut.
I positioned short ( shorting tech and small caps). Not sure if it'll work out, but I do forsee volatility, a retest of recent lows, and perhaps even lower lows coming up.
Glad as **** that my retirement is in all bonds, some gold, and some silver. I am going to avoid gold miners for now, and continue to BTD on either GLD, or the real thing going forward.