Two weeks ago we were famished; today we are dipping expensive bread into large vats of decadent olive oil.
The stock market is the embodiment of human behavior, in all of its “grotesqueries.” For example: as this market melts up, all of the clam-fuckers who were screaming “sell” last week will be covering their shorts and going long, amidst a buying panic. However, the appropriate course of action is to take profits here or add to underwater shorts. The best trade is always the hardest.
I’m not particularly sure when the market will reverse lower. According the The PPT, we are not officially OVERBOUGHT until the score hits 3.10+. I suspect that score will be breached today. So, to be clear, I shall take some of my wins and walk away from the table today. As you know, I went “all in” long last week, so it’s only prudent to raise some cash here in order to “manage risk.”
Remember that guy in the comments section who laughed at me for only having a 10% cash position, saying “way to manage risk Fly, ROFLMAOPSDGDHDFG?” Yeah, neither do I.
NOTE: Credit spreads are tightening, as expected, in a number of insurers this morning, notably HIG, MET and XL.
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You have the hot hand, Señor Fly.
Another great call, monsieur Fly! I got long some X calls on wednesday, making over 50% on them! Looking at 60-70% on the open now. Awesome call!!!
Indeud.
Fly,
Could you specify what positions your liquidating today?
Thanks
finally a voice of reason… all these other fools are screaming buy on their blogs , even the big bad bears… i’m 110% with you fly. .. this pre-market bullshit is gonna take a lot fools out today
my guess is we rally up to es 1103 heavy resistance and retreat .. while sucking in some new longs.
I am constantly amazed when people who are afraid to do what I do feel obliged to tell me I am doing it wrong.
It is especially amazing to me because the advice usually follows the question ‘what the hell do you DO to be able to live like this?’.