Trying to play this market is equivalent to tackling DeAngelo Williams from the Carolina Panthers. You must watch for the head fake, you must watch for the nasty stiff arm, and you better have some help bringing him down.
Last night, I watched Williams make a great defense look like a bunch of high school kids. I saw the best of the best, Ronde Barber, receive a few hand prints on his helmet due to a nasty stiff arm from Williams.
That’s exactly what’s happening right now, the best of the best are getting dealt nasty stiff arms day in and day out.
How do we defend this? We must wrap ’em up. Have every angle covered to prevent the headfake/stiffarm/juke.
My investment strategy is simple. If I initiate a short, I initiate a long. I take shots at opportunities during the day, but anything I hold is paired with the inverse.
Example:
I’m long UYG & C, but short LM & long FAZ
I’m long TNA, but short DRYS & MON (I took down all 3 near the end of the day)
I’m long a bunch of stuff in the long term account, but long a bunch of SRS from below $80 (today).
Case in point: Don’t be that guy @ 0.56 of clip.
[youtube:http://www.youtube.com/watch?v=h-JaDIBFNOI 450 300] Comments »
