The current U.S. market conditions will remain volatile until there is a longer trend of higher wages, consistent job growth, low rates and low inflation. Outside effects of China and other world markets will have little effect on U.S. based companies. Low oil prices will also have little effect on U.S. based companies, if anything they will help bolster them.
If you are investing long term continue to buy dips in the market using the dollar cost average strategy. If you are day-trading options set your iron condors wide because the jumps may be large. The range on the SPY should be between 180 and 200. Or you can sell bull puts and bull put spreads when the market goes down to capture the higher implied volatility prices.
There is an article in Marketwatch showing the growth in jobs and wages so we are headed in the right direction but it will take some consistency to create a foundation for the volatility we are experiencing. The middle class is the engine of our economy and if there is no fuel in the tank we can't go anywhere.
