During the current backdrop, the best trading strategy is to either stay in cash until a less volatile market presents itself or to trade tactically and not overstay your welcome in any one trade. As I mentioned last week, the short term trend is down, but the bigger picture is a healthy consolidation period after a five-year bull run.
Take a look at the S&P 500 over the last five years, and that trend is clear.
At the time of publication, the author held no positions in any of the stocks mentioned.
This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.