..already shaky

Yesterdays late afternoon developments should serve as a reminder to all of us that this game is full of surprises.  Being complacent and thinking this market will continue to run to the moon is just a trap.   We usually mention at least a blurb on some economic data to be released that can play a role, but who'd thunk it we all need to be around and set up on our trading platforms for the FOMC minutes yesterday.  We weren't and were quite surprised what we saw once onboard.   Maybe, we should have considered that a shaky market from oil might plunge the market if something of a surprise appeared in the FOMC minutes,  but clearly that would just be too much analysis for traders !.    The release of the minutes included that the last cut was a close call, inflation outlook was increased and several FOMC members said it was 'unlikely..appropriate' to ease monetary policy in the near future.   This sent the markets tumbling down, but it surely wouldn't have been this furious if we did not have an already shaky market due to soaring oil!.   Oil was the push as the market was standing on one leg the past few days.  It was getting quite wobbly in the morning and the FOMC minutes was the shove to spiral the markets downward.     We really want to say this is the pullback we've  wanted.  Unfortunately, this pullback has occurred on a fast spike in crude and Fed's economic outlook.   Basically, the playing field has changed once again and we need to be on our toes if we ain't gonna live by the "go away in May...." and continue trading.    Yesterday, we said don't be a hero.  Today we can only repeat it when it relates to getting into any new positions unless you just want to swing a few around intraday. If you're holding through it's quite fine as we are getting into oversold territory and it's not the end of the world.   Do consider selling some though into any rally.   Waiting for Oil price dips is what the market will most likely wait on to pounce and bounce.    It just might become too predictable and we'll start to see volatile days trading off the price of crude.    Geez, that sounds like subprime stuff all over again,  if we get close to that volatility.    BTW, it doesn't help we're getting noise on the financials again including downgrades the past few days. 

The commods' are still showing strength or at least one is every trading day.  Yesterday, it was coals early on, but we are not chasing at this point day to day as we'd love a pullback to hit here of substance.   Interestingly enough after yesterdays mulling, European markets saw commodity stocks surge to bring that market back up to flat early on.  Will see if this crosses the pond or will even continue in Europe.  Just watch $CRX for clues.