DO I LOOK WORRIED?

Yes the market is careening lower and Ag Holder is stepping down. There is war in the middle east, pestilence in Africa, and downright chicanery in Asia. Has the world really changed?

Small children from the internets: this is seasonal. The market always defecates on itself in September. Every once in awhile we get a crash, or two. The Gatsby-styled parties, starring champagne and colossal shrimp, will have to be postponed due to market conditions.

But remember this: great opportunity presents itself when there are rivers of blood flowing through the streets of Wall. If you buy today, you are resigning yourself to the status quo–mediocrity. The market bounces and you take 7%. But if you wait for something extraordinary, a larger drop, and then nail it; well then, you’re looking at 25-50% returns on a single trade.

Based off recent history, the declines have been shallow and the large opportunity is always evasive. But there is a difference in the matrix now. QE has ended and the previous two QE endings have resulted in -16% and -19% market returns.

Perhaps you should be patient and go whale hunting?

As for me, my largest holdings are TLT, ETR, EXC and SOL. The first three represents almost 50% of my trading dollars, so I’m fairly defensive into this drop.