Engage not

Another quote from The Ten Commandments of Mindfulness.

Engage not irrationally into profitable attractions, because jumping too quickly into temptation may well blind wisdom.

So many people have been incorrectly calling for a correction in the last several weeks. While I may agree with them, the timing was terrible. Market seems to move the in the oposite most pundits expect, myself included. The old adage, "Sell in May and go away" did not work in 2007. Will it work for 2008?

Next, you have to understand what defines a correction. Is it a correction to buy or a correction to sell.

Lastly, if you trade, I want to remind you again about 4ema cross 21sma on a 5min chart. Pull up a chart for your favorite and you will see what I mean. Volatility is the money maker if you follow the trend versus trying to buck the trend.

Use the 200sma as your guide for the upside of the market. A hold above 103% of the 200sma, means bulls return and a break below 97% of 200sma means bears return.