Are the markets becoming untradeable? Everytime I hear pro traders and everytime I talk to others who trade on a daily basis, I hear sentiments such as, “it’s too unpredictable” or “this market is on no volume”, etc.
The market has had low volume, rally mode days, and a whole lot of shaking out stops. Some days the market rallies 100 pts, in the first 30 minutes then hold steady without volume the rest of the day. On some other days, it moves up and down during the day but closes the day almost where it started. In other words, it is getting hard to use technical analysis on many charts. It’s not impossible, but hard.
Consider AIG, it keeps moving up for no reason. Or consider GS. It keeps upgrading stocks to random buys. What is the point? What could google have changed in the last 4 months that GS would think it’s a buy?
Despite all these things, the main thing for a trader is to trade the oppurtunity. If the oppurtunity is for intraday, then trade intraday. If the oppurtunity is for swing trading, swing trade.