Weekly Average Momentum Index (AMI) rankings of SSPP, nSSPP, SELECT, ETF have been posted at: http://yechen.pan.googlepages.com/
It was a turbulent week for wall street. With Lehman Brothers went under and AIG was in the brink of bankruptcy, global financial system was in danger of collapsing. Think about the situation where money in the money market funds are no longer safe or the money in the bank is not there when you want to withdraw. Government was forced to step in and quickly came up with the bail out plan to restore the investor confidence. At the end of the week, the index stood about the same as the beginning of the week.
The biggest question for people with trading in mind during this chaos time is should I get in to buy or should I sell to cut loss. When the market was dropping like a rock due to tremendous fear, do you have the guts to buy? And when the market is popping up crazy, can you resist the greed to hold and sell to cut your losses? That is why it is so important to have a well defined buy and sell rule to guide you through these tough time if you decide to trade the market. Stick to your trading plan and do not let emotion take over your trading decisions.
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