Getting Back on the Chain-Gang

I must admit, it’s so wonderful to have my XIV position down 99% after the market runs higher by 700. Some might’ve thought such a rally would’ve produced a feverish run higher in the ETN. Alas, Credit Suisse and the mathematicians who built the ETN have truly outdid themselves, nearly breaking the entire market with an instrument spawned from the hottest pits of hell.

Earlier today I read a report from Goldman that read like an old man screed hating on crypto currencies, so I bought some OSTK. There are many crypto proxies out there — but OSTK is the chief proxy — the head honcho. If Bitcoin is back on the way up again, OSTK will move in tandem.

By the way, do not be surprised to hear people start to talk about the correlation between stocks and cryptos. Yes, stocks are rallying today because so are cryptos. Yes, the market began to tank last week after cryptos tanked. There is a correlation — make no mistake.

Here’s a quick rundown on my current tactical holdings, after all of the selling the past few days.

OSTK, KBSF, ESV, LEDS, FTK, XIV and SOXS.

There isn’t anything honorable, per se, about that combination of holdings. By all measures, it reads of mid-life crisis desperation — a man who is still walking around in shorts trying to be cool. HOWEVER, you should know this merely represents 30% of my investable income — chump change, idle clams invested for sport. Most of my money is invested in my quantitative strategies, which have performed wonderfully — much better than anything you’re doing now.

That much, I assure you, is bankable.