We’ve just completed a record-smashing quarter: S&P 500 ($SPX) ends above 2007’s record close, Dow ($DJIA) posts best Q1 Since 1998, both recovering all of the losses from the Global Financial Crisis. Source: CNBC
This has been an amazing run and the US stock market does not appear to be concerned with the continuing problems both in the wider U.S. economy (eg budget/debt ceiling battles) & the continuing European debt crisis, latest being the bailout of Cyprus and concerns of a bank run during last 2 weeks.
While the world economy is still in fragile shape it is a reminder that as traders, we must trade what is presented to us on the charts rather than what we believe should be the case… Trade The Reality, Not The Belief.
As the quote from one of the most influential economists of the 20th century, John Maynard Keynes goes… Markets can remain irrational longer than you can remain solvent.
A quote well worth remembering !!
Thank you and good trading.