Holding Shorts into Tomorrow — Looking for February Redux

Enough of the mealy mouthed having it both ways horseshit. Here’s what I really think is going to happen.

Markets cannot V shape recover out of this hole. Today’s melt up cannot and will not continue into tomorrow. If you’re betting on that, you’ll be raped first thing tomorrow morning.

Back in Feb, we had a similar spate of weakness. A giant down day was followed by big up day and then inside of 1 week…we melted the fuck lower again.

Everything is beautiful about today. I have zero problems with the structure of the rally. But that’s the nature of a circle jerk. End up trading to and fro too many times and end up in the fucking grind house with your bones on fire.

Do you know why you feel fucked up right now?

It’s because you’re trading your entire account. Quit doing that, else I’ll come over there and slap the shit out of you. Take 25% of your money and trade it — the rest leave for long term cap gains. Or, like me, put that fucker into a Quant strategy.

I ate some tuna fish on toast today, two cups of coffee, and I brushed my teeth 9 times. I’m +3.5% on my quant and getting drilled on my inverses in my trading; but 75% of the account is cash. I should’ve sold the inverses this morning — after I had a suspicion we’d have a slow boil up type of day. We’re likely to close at the highs and everyone will go home feeling good. During supper, your wives will ask how your day went and you’ll say “just fine, dear, thanks. Please pass the gravy.”

You’ll go to sleep feeling euphoric and then wake up in the morning to a fucking nightmare, S&P futures sharply lower and everyone you know will be hanging out from windows in an attempt to collect life insurance post mortem.

GOOD DAY.

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