Category Archives: Risk

Simple Advice

By -

Welcome to November, Slopers!

It wasn’t that long ago that every day, like clockwork, the market would rally for the last half of the day (if not more). I would frequently bemoan this, and folks both here and on Twitter would say something along the lines of, “Well, ya idiot, take advantage of it!” But I never did.

Good thing, too, because this “sure thing” has become a “sure loser” almost every single time. ZeroHedge put together a graph showing (in circles) the end-of-day action, and in almost all cases, it’s down (there are a tiny number, not circled, that are up). It just goes to show that the “easy” answers aren’t always the right ones.

Daring to Be a Bear This Week (Trade Walkthrough)

By -

I’m making an adjustment to my posts from now on where instead of simply speculating about future market direction, I’m going to offer a trade idea and plan.  (insert customary disclaimer, educational purposes only, blah blah, I can’t make you buy or sell, use the plan at your own risk, etc. etc.)  So let’s get to it.

The Context: As some of us are painfully aware, the S&P500 has been making higher lows and lower highs since the low of September 12th resulting in a triangle-like pattern.

161009 - SPX


Lighten Up, Francis

By -

I’m in no mood to be a hero against Janet “anti-Christ” Yellen this week, so I’ve lightened up considerably, having gone from 70 positions to a mere 45 and a 150% commitment (vis a vis my buying power) to 100%. I want the little three-foot beast to get out of the way before I try to do anything cute with the market. I’m laying relatively low until Wednesday blows over.