Hey Guys,
This morning the updated CPI numbers for inflation were released at 5:30am Pacific Time, and it resulted in some wild price action. Within the span of 5 minutes the S&P 500 futures moved 100 points. Overall the net effect is that the market is down from where it had been yesterday, although there is clearly still the potential for a strong move in either direction.
In my case, I don't try to analyze the reports like these that get released. What I've found from personal experience is that many times the market's reaction to major reports doesn't seem intuitive to me. That explains part of the reason why I'm attracted to an algorithmic trading approach -- so that I don't have to try to predict market reactions to major news.
So I stay focused on honoring the trading strategy regardless of any market reports. After all, that's exactly how the back test was programmed (to ignore any news or reports and focus exclusively on the strategy criteria).
I bought more positions today. In the main account, I bought ZTS and QGEN. In the low-priced account, I bought PHR and TXG. And at the end of the day yesterday, I bought options for CL in the extra options account.
My stock position for NIO reached its time limit today, so I closed it out this morning. It locked in a small loss.
If you have any questions or feedback, I'd love to hear from you.