It was a typical "fake-out" in which the averages started to collapse late in the day, which was then followed by short covering and a bunch of buying programs kicking in.
I bought some more TWM in the breakout, which brought me grief later on. But I don't think I am necessarily wrong in this trade just yet...but I am a clumsy victim of some classic Wall Street skulduggery.
I'm thinking that it's a good bet that Friday's TWM low will be challenged and taken out, which is another way of saying I think the Russell 2000 will challenge and surpass yesterday's high. Then folks will decide "this is the big rally", buy aggressively, and then the market gods will lower the boom!
The above admittedly is a guess, but that's my trading plan for now. We will, of course, know better Monday!
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