'Trading is a process of observing the market's action until such a time you can find and form trading ideas and get involved.'**

Monday, December 5, 2011

The market turns ugly at the later part of the trading day.

It gap up early in the open pit from the Globex session and was able to maintain its momentum through the middle part of the regular trading.

Only to do a somersault act two hours before the close.

Lots of break out traders caught off guard by the sudden turn of events.

Good for the shorters, they made a good job shorting the market.

Lots of bulls got nervous from that sudden drop.

But I think that was just a reaction/pullback from the on-going trend.

It might consolidate some more prior to the big move in time for the holidays.