Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

TEN Exclusive: Where was the fear today?

 Market psychology is an interesting thing. If you spend any time in the markets you will gravitate towards the opinions of others. Whether it be the talking heads on CNBC, the Wall Street Journal, or in any other form we are attracted to it like a moth to the flame. These people are the professionals. All I have to do is listen to their advice, place my trades accordingly, and retire young. Isn’t it that easy?

First of all, it’s not that easy. If the pundits knew what the markets were going to do they would be trading instead of talking. I’m not delusional enough to say they are clueless, for that is definitely not the case. The only point that I am trying to make is that no one person can predict the markets on a short term basis with any degree of certainty. One day total doom and gloom, and the next a voracious appetite from investors. Today was a good example of that. After news broke that China was not considering selling their European debt, a further degree of uncertainty left the markets and heavy buying was the order of the day. But after the markets closed, the future for tomorrow’s markets could only be found in a crystal ball. There is an ebb and flow that we will never get our arms around.

After following the markets for nearly twenty years I have as little clairvoyance as the next guy. I just try to do my research and find stocks I either like, or dislike, and trade accordingly. I don’t know what the market is going to do after my trade, but I better be sure I’m prepared either way.  If you plan to trade, trade the plan.

Trade Idea for the Day

To continue reading click here:

Disclosure: No positions