A small summary of the Daily Comment of today

As everybody already knows it , markets pushed down yesterday morning and then bounce back up rather fast. Overnight some news about a Chinese negotiation team coming to Washington some time later this Month extended the bounce.

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[U][B]Conclusions[/B][/U]:

In a normal market - which we haven't witnessed for years - a general pullback would last at least a few days. Hence, patience had usually been required before buying dips. In today's markets, algos are much faster to buy dips. Later on, the move is reinforced by a supporting bullish narrative (in this case the Chinese visit.)

Technically speaking, it is best to buy indexes maybe though leveraged ETFs such as QLD, TNA or SPXL. Below are the ideal entry levels which over the past two years have offered at a minimum a 1/2 Risk/Reward ratio.

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