About this time yesterday I had written off 2015. I booked some longs and went to the gym with a -100 NASDAQ bar imprinted on my brain. Every time I did my max rep I would see the red candle, in all of its horrific glory. After lifting heavy objects for two hours, my concerns eased.
All seemed well after hours, like the whole day session was a delusion of sorts. The volatility, it seemed, had vanished. Then we had a super normal morning; there was literally nothing abnormal about it. The NFP 3rd reaction analysis yeilded a strong buy and hot damn we climbed the liquidation pole with great tenacity. All those NASDAQs that vanished in a flash were replaced just as rapidly. Money managers smashed the risk on button with the flesh of their palm in unison.
This is why I have segued a good chunk of my funds into The Fly’s GARP. Its passive, and this lack of action means I do not screw up (everything) when I throw out my positions into a 100 point hole.
I have my reasons. The selling was not just some knee-jerk reaction. The failed auction in the NASDAQ very much happened and very well can disrupt the rest of the trading year. But you know what? Selling yesterday afternoon was wrong, wrong, wrong.
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When I saw the sellers panicking Thursday afternoon I went down on the floor and snapped up as many shares that I could get my hands on. I knew Friday would be a sweet deal but did not expect holy bat shit to the upside. On Monday they will gladly buy my shares at the open at market.
Look at my post on RC’s blog for proof.
Great job!
Raul – did you take Flys index or pick your favorites out of it?
More news on Chipotle: here, here, and here.