Be Patient

The stock market continues to have wild swings as the bulls and bears fight to make headway. If the selling dries up then we are left with just the buyers to form a new trend upward. Of course if the buyers cave in that leaves the sellers to form a new trend downward. Don’t be a hero and try to guess the outcome, you do not need to. Simply wait for a trend to re-establish itself before committing new dollars. With the bulls and bears battling it out then we are bound to see the big swings we are currently seeing.

While you wait maintain a list of companies that are resisting any sell offs. These companies will be moving sideways and will most likely be the first to break out to the upside when the stock market re-asserts itself. Is that tomorrow, next week, next month? Only a fool knows the answer to that question, wait for the confirmation.