I started a new, half-sized, short position in ERX today for $48.14. This is all about catching the market fluctuation and hedging down so I can secure the recent gains.
I thought about selling some of my additional CLP, AWK, or AEC positioning. They have taken stride and made almost full recoveries from the start of the selloff, as I figured they would.
But I love the stocks, so I have decided instead to use a bit of hedging to preserve capital, as opposed to drawing down these names outright.
Watch closely you; the REITs and utility company I possess will be trading at new highs just in time for Thanksgiving. BG and CCJ will have also returned to their pre-selloff days, at a minimum.
This is not the end of the world. I had a conversion with two gentlemen the other day, who were trying to convince me that this is all part of the “new normal.”
Poppycock, I’ve heard that trash before. Mankind will not take its lumps sitting down. America will persevere and rise from the ashes to something beyond what any of you ever imagined.
God, I would pit even our most lazy union member against any man in Europe. To hell with China, we will continue to innovate beyond them and their zero-safety-system-high-speed-trains.
We’ve hit a bump in the road, but even if our markets dip into an official recession, our country’s greatest days are ahead of her. In the next two years, the housing market will continue to work through the buildup of supply and bad mortgages. Once property values stabilize and the American citizen is no longer dropping half of their disposable income on interest payments, it will all be uphill from there.
Quit betting on the end of humanity. A few select markets and sectors need to sell off, but in general business is still the only reliable faculty of man.
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i like ur comentary, but todays action was a little confusing (for me) r we pricing something from the white house or greese is fixed? i still think we retest the lows.
Sometimes a melt up is just a melt up.
I’m willing to hold all my longs in anticipation the market goes higher, but keep hedging and have some breathing space.
That’s what this market needs to be treated with; a healthy level of respect and suspicion.
Which sectors are you thinking are overpriced right now?
Bonds are spooky high, I’d like to think commodities can sell off a little more, and I’m cautious about high growth industries.
Low volume melt-up on a summer Monday after a tropical storm, with the most beat-up stocks outperforming makes me think this is a mostly end-of-month window dressing/short covering/sucking suckers into BAC one more time kind of rally.