As I sit here I was struck with an analogy. That is, the markets make the big moves from the buy and hold actions of the investors but the traders try to profit from moves of a generally shorter duration. The traders trade against one another while the long term investors move the markets in trends. So the picture that came to mind was of a lumbering elephant, the investors market, ambling along while traders fought each other to stay on the back of the elephant. If a trader can get a good seat he needs to hang on as long as he can. If the elephant makes a hard turn the trader has to be aware and jump off, but if too many traders jump at the same time they tend to get hurt in the fall, and sometimes the elephant gets spooked and runs amok.
Control your emotions and control your risk!
gh
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All comments are appreciated as it will give me a chance to adjust my content to any real people who may be out there. Thank you. gh