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Friday, May 7, 2010

Yesterdays Market

What can we learn from yesterdays market. Obviously the machines took over. Those were computer generated program orders that pushed the market down during that 20 minute period. There are 4 things to do or remember during these events. 1) do nothing , you can not get hurt by doing nothing and your up and running the following day. 2) Stand back and wait for the market to stop going down and buy when you get a green 5 minute candle. If you want to trade , trade a liquid low priced stock like Citigroup. You can get in and out. 3) When the world or the machines are creating sell order after sell order do not fight it ever.4)You now have seen the worst point decline in history. Never forget it will help you in years to come. Have a good weekenend.

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