I missed this trade earlier today owing to an error in my Tradestation set-up (a hangover from my computer problems earlier in the month) so I have not good quite as good an entry as I might have earlier today. However, there is no doubt that equities are in an uptrend, the drivers of that uptrend — QE, strong earnings, economic recovery — remain in place, and I have a trading signal. The signal is a retest of the latest breakout — as you can see below, breakouts are a poor signal in this market but retests work well. It feels very wrong to be going back into the markets after being stopped out of the QE/risk trade last week, but there is no doubt that my process requires me to trade here. I increasingly take an uneasy feeling even after I have accepted the arguments in favour of trading as a signal that the trade is a good one.
Incidentally, I know I still have to post the trade analysis for some trades I was stopped out of last week. I am going to do that when I have a clear had (I still have a cold) and have had a few days to get some perspective.