The Second I Turned Risk On: HAMMERED

Since my October bottom I made sure not to expose myself to too much risk. The result has been a steady stream of gains, although methodical, it has been almost assured. Yesterday I decided to leverage long “the best” stock and today that particular area of the market, as if pointed out by the devil himself, is hammered to ash.

I stand before you stripped of my MTD gains, off by 2.3%.

DECISIONS

Do I hold the line like a fucking lunatic and hope for the best? Or, do I reduce my exposure and toss on a TZA hedge?

SAAS stocks are HAMMERED to bits today, off by 3.5%, which bodes poorly for risk. I never did believe December would be a notable month and we’re up just 2.4% for the IWM month to date. We can either bounce 2% or sink 2% from present levels and before you know it — JANUARY OF 2022 IS HERE AND THE FEAR COULD TRIPLE BY THEN SENDING STOCKS INTO THE SEWER, and much much more.

In short, I’ve determined the market isn’t at risk yet and have no urge to change my strategy, although I might moderate it with a hedge.