I made sure to point out (in the post above as well as recent videos) that “That one particular development is bearish although it is quite common to see the stock indices briefly move below (or above) a key moving average on an intraday or even a closing basis for a day or so, only to see that level recovered followed by a rally (or drop).”

As I said yesterday (I believe in the video) was that the fact that SPY & QQQ closed below their 50s was certainly a bearish event in itself. However, the reason I spend half and hour or more covering multiple time frames on various stock indices & market-leading stocks not to mention pheriperal but related securities such as the EUR/USD (which has a positive corrleation to the stock market), including key developments that have recently happened as well as other potential developments to watch for on all, is that what formulates my outlook of where the stock market is going is far from any one single ‘bullish’ or ‘bearish’ development, rather the entirety of all of those technicals taken collectively.

e.g.- SPY & QQQ closed below 50-DMA yesterday but at the same time, $NDX futures closed the regular session (and drifted slightly lower after that) right above a key support level which I’ve been targeting since two weeks ago. (as per the 120m chart). So basically, the leading index ($NDX) has fallen to support with positive divergences & near-term oversold reading with the biggest correction in months in what is still very much an intermediate-term uptrend since Oct 2021. Good enough for me to book profits on shorts & position long to attempt to profit from a bounce & if it doesn’t materialize, then I lose some $$ on the longs & lost profit potential on the closed out shorts. Nothing ventured, nothing gained & I’ll just wait for the next objective entry on $NDX, long or short.

Scott, you’ve been here for a while & must have heard me state a dozen times or more that I have a primary trading account in which I actively trade, in & out of the same positions, long & short, even within a larger bearish or bullish trend. In my long-term (retirement accounts), I position mostly in typical swing & longer-term trend trades where I usually don’t try to game all the squiggles within a swing trend, just the one’s that I anticipate might be substantial. As such, it is not unusual for me to be long something like the $NDX in my long-term accounts as a core swing position & then short in my trading account for a few hours or days attempting to game a minor correction/pullback.

To your other point, did you even bother to finish reading what I said because it wasn’t simply that I’m “long… but won’t add any more longs..” what I said was “I don’t plan to add any long exposure in my active trading account until & unless the 50’s are taken back”.

You left out the last part of that statement. I’ve heard this said before & observed it to generally be true: Dumb money (retail traders) like to average down on a losing position to “lower their cost basis” while smart money (professional traders) prefer to average UP on a position, with the logic being if they were to be averaging down, that means they were wrong on their call whereas if the position is going their way, it shows their analysis or reasoning for the trade was correct, so they might continue to add as the position goes their way. Hence, the reason I will only add to longs if SPY & QQQ regain the 50s.

I agree… very confusing… also when market is going up randy is bear… when ,market is going down randy is a bull… short term and long term — the terms are mixed.. difficult to follow.

I have to agree

To summarize… You’re long… but won’t add more longs… but also have been short in another account and taking “profits” on those shorts… while scaling into more longs as “hedges”.

Simple logic / math states you cannot be taking “profits” on shorts in one account if you are also long positions in another account. If you are both long and short at the same time, you don’t make or lose any money.

The only way that works is with options where you can get convexity via gamma moves (short position gains faster than the long position loses).