This is the sort of tape that makes one want to jump into a lit fireplace. No traction. Reversals to the downside, led lower by small cap. However, you’re being overly dramatic. See, small caps have crushed to the upside the past week, far outpacing the large caps. This is simply, dare I say, a reversion to the mean.
One could make a strong argument that I am being blind to a possible reversal in the indices and I admit that I am jaded beyond belief and barely know the difference between what is fake or real anymore. However, I do know this — leverage loans are doing ok, as well as junk bonds, and WTI.
I would’ve liked to lock in those gains in $TUFN this morning, but I didn’t and that’s life.
Oil isn’t down and small caps are merely in profit taking mode. Into a holiday, expect thin and disgraceful trading. If you’re placing hedges now, I do believe you’re making a mistake.If you enjoy the content at iBankCoin, please follow us on Twitter