Tonight’s post is going to be exceptionally short, because I am exceptionally busy.
I will note that I have recently been uncharacteristically courageous and confident with respect to the market. It is not because the market has been collapsing before our eyes; on the contrary, many indexes have been vaulting to lifetime highs on pretty much an every-other-day basis.
However, for a variety of reasons – - some known, others confidential – - I have a firm belief that the song and dance from Bernanke & Company shouldn’t turn me off shorting. I have been getting increasingly aggressive, and as I type this, I am nearly 100% committed (94%, to be precise) with 90 different positions.
I offer the chart below of the NASDAQ Composite, which I believe may be heading for a 10% drop over the next two months. This may seen an insane conjecture in this “Bernanke/Yellen Put” environment, but reality be damned, I think this is the most likely path ahead.
I will not continue with my evening, and I’ll see you here in the morning. Pray for rain.