No need to panic if you are on the right side of the move

Market had been weak for months with breadth having steady deterioration. Last two months the  primary indicator was bearish and selling pressure on daily breadth reading was increasing . That was clear indication of weakening market.

If you are on right side of the market move , there is no panic just time to bank your short profits and wait for a dead cat bounce or capitulation kind bottom.

Having traded the market now for 15 years with no negative year , risk management and market timing is big part of my game plan. The objective of trading should be to keep your profits and not constantly climb back from holes. Proper market timing techniques and situational awareness skills can help you to be on right side of move and avoid periods like this.

At some stage all these kind of panics subside and market go up, if you have not lost money during periods like these then you are in good position to profit from the markets.

To survive and prosper for decades you need to have some kind of market timing model and on daily basis have Situational Awareness.