Let’s be clear, oil is for losers. The idea of being long crude is contrarian. To be a contrarian, you have to think differently. You think differently because you are inherently unhappy and ergo feel the need to do something that no one else is doing. The delusion is thinking you’re a leader or ‘early’ when in fact you’re not — you’re just a rebel. Being a rebel without power makes you a loser. George Washington was a rebel, but he had power. Had his power failed him, he’s be considered a loser today — moron who fell against the British Crown. You are not George Washington.
Healthcare stocks, of which I am long, are lower today. I am still heavily in cash, heavily in biotech — not participating in today’s rally. In order to prevent being a loser tomorrow, I might have to conform to the current strokes of the market. I can let my stocks go another day to see if biotech bounces tomorrow, but nothing more than a single day.
Exodus had oil stocks are extreme oversold levels as of late last week.
Today’s bounce is nothing more than mean reversion.If you enjoy the content at iBankCoin, please follow us on Twitter