Trader Warns “Time Won’t Heal These Market Wounds”

By Tyler Durden

It’s a thankless task to try trading when it seems that all of the relevant inputs are unscheduled exogenous shocks. But, as former trader ansd fund manager Rich Breslow notes, we often have no choice. The Bloomberg editor points out notably that the market reacts and only considers what it means afterward.

When’s the next one that’ll set us off and running? We’ve learned that breaking headlines haven’t shown the courtesy of necessarily waiting for normal business hours. And unlike run-of-the mill economic news where there’s at least the possibility of some sort of dispassionate analysis, the news we’ve had this week comes laden with all sorts of preprogrammed baggage.

To make matters worse, the market, even more than nature, abhors a vacuum. Trading a storyline with so many unknowns and so fraught with emotion, requires that new developments continually feed the beast. Or it bites back.

Markets can trend, range trade, and correct. But one thing they can’t do under the current scenario is time-correct. The minute they stop moving, a powerful, even if short-lived, impulse takes over to reevaluate, cherry-pick and average down. Even if you’re sure the story hasn’t run its course, it takes real moxie to remain …read more

Source:: ZeroHedge