A Lovely White And Lurid Red

As I enjoyed a burrito for lunch in my office, I noticed the lighting was more shaded than usual.

Turning my chair to face out my balcony window, I was met with the sight of a snow flurry dancing across the glass.

Of course by now, it has all dissipated. I don’t expect to get a real snow that sticks for at least another month. We’re in for an unusually warm winter, if the Farmer’s Almanac is worth its salt.

The jovial white outside did clash something awful with the bloodshed that was taking place on my screen.

I’ve lost quite enough money betting on the wrong direction, thank you very much. So if it pleases you, I’m not going to use my last bullet yet. I’m going to be patient, and wait to see if holiday cheer can overcome these serious developments in Europe. I wouldn’t be surprised if they do.

But I also told you days ago that if this market were to do anything, it would be to build up your hopes just so that it could body slam you over a frozen manger, then impale your head on a Christmas star.

At this point, I don’t think there’s anything I can do to crawl out of the 25% loss hole I flung myself into. Any huge correction in my oil and energy short positions will probably be met with equally painful drops in my longs, if things stay this severe. But because I’m short, my cash position will steadily build, providing reserves that will become deposits just as soon as I cover.

The big game plan is to turn those around at the bottom and put them to work cost averaging my existing positions and maybe taking up a new one or two, paving the way for massive gains going forward. We’ll see if things work out that way.