The market hit a monumental level this week, a level that is talked a lot by the retail investor. This level is the 14,000 level in the Dow Jones Industrial Average. It is a reasonable assumption that people will want to buy once the story hits the papers regarding being so close to the all-time highs. It is natural to become excited, and the the common person is “known” in the trading community for buying at the worst points because they get caught up in the hype. This being said, we must ask ourselves, as traders, is this a logical reason for us to call for a pullback? I feel like the whole world is calling for a pullback, and “everyone” in the trading community is latching onto anything that they can find to create an “excuse” for a pullback. Our job as traders is to follow the price action, not what we think might happen. I bring this up because I find too many people trying to call tops. Just something to ponder on while you prepare for next week.
Ben C BanksBy no means is my intention in this article to say we go higher. I do not know what we will do. All I know is we are uptrending. Think about it.