Weekly Plan 2/12
More of the same(!)
Hello traders,
Hope you had a relaxing weekend and Happy Chinese New Year to those who celebrate.
I have nothing noteworthy to write about last week. Market kept grinding up and we got a few points along the way. After my horrendous performance on Monday, rest of the week was an uneventful drudge on lower size managing to erase losses by Wednesday and then catching modest points Thursday and Friday.
Everyone is waiting for CPI this week and we find out if goldilocks is real or just a fairy tale.
We have seen a lot of people being unreasonably positionally short on the indices and NVDA.
Shorting this market without a clear shift in sentiment can be counter-productive.
Unless we see a few consecutive red days on the indices being short for anything other than scalps seems like a suicide mission.
I would write a detailed post after the CPI data and till then all we can do on a higher time frame is wait and watch. We will still trade intra-day ranges but the expectations would be managed accordingly.
Other than CPI we have a few fed speakers, Lagarde and PPI this week.
Weekly levels: