This POS month is returning, during this same POS time of year, bringing me all the usual blessing of aspersions and inflictions.
In 2010, I watched 10% of my account evaporate as Sallie Mae’s “qualified” leadership bought out a company I was then shorting, STU (who’s loan portfolio I would remark has continued to give headaches through its further deterioration and subprime status), for a 50% premium to last trade.
In 2011, short oil to the teeth, and up an inspiring amount I would add, the financial markets reversed course so suddenly I got whiplash, sending oil from the high $70′s back into the $100 range, in the timespan of a month or two.
And now, 2012, markets are collapsing just as I have decided to be long going into the holidays (for the first time in three years).
Fellows, I don’t know what it is about October, but this month can go to hell.
Don’t worry if you’re losing money today – you weren’t on the wrong side of the trade. October is just on the wrong side of me. And by your grave misfortune, I decided to make your house my ground zero.
Had I been in cash, we would be rallying 300% today. Had I been short, it would have been 600%. As I am long, we will trade to $0.00.
If I someday decided to put all my money in one single position, that stock and that stock alone would receive a legal challenge that sent the company into bankruptcy. If I owned a private company by myself, it would go bankrupt in the month of October.
October is an ass.
However, I somehow always manage to recover from this month’s less-than-genteel facets.
In 2011, I nailed some big trades including APC.
This year in 2012, oil collapsed (going on twice…) and my entire position got back to profitable.
I can survive October. But I would literally pay to see the month thrown out – we’re going to an 11 month calendar.