Yesterday’s price action on the OIL market was unique. We traded to a negative number in the front month contract expiring today, thus OIL helped the bears trading the SP500. As of now, it seems the selling is not continuing but for me it does not mean much. We price moved away from the SUPPLY AREA.
There are two trend lines that a draw there are more important than the buying today. Note the picture below.
The market volatility will create great opportunities, there are going be new companies that will do great in the next decade and most likely those are not large players yet.
There are people that say that by the end of the year the SP500 will be above current highs, there are other saying than this will be similar to 1930s with a years of depression.
My position is that I can not know. Nobody can know with certainty. I will read price action and trade it. My expectations are not that important now given that my risk and market exposure is limited to the downside. If the market drops hard, I will not lose money.
Earnings will play a big role on future prices for US Equities. Here is one of my go to earnings calendar.