No, thank you. Not me. Out of longs. Pushing into more shorts.
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
August Closing Strong (by Springheel Jack)
We've had an impressive rally on equities since the low last Friday, but there's still every reason to think that this is just a rally before the downtrend resumes. Vix broke support nicely, but bonds and precious metals are still holding up well and at minimum bonds should break down if equities are to convincingly break up further. I don't have anything suggesting reversal in terms of short term patterns on equities, but what I'm watching on ES are two resistance trendlines that should meet tomorrow at slightly over 1230:
Hedging Update — BAC Again
BAC Again
In a post last week ("Optimal Hedging Costs: A Tell for Stocks"), we mentioned that Bank of America (BAC) had the highest hedging costs in the Dow for most of the last several months, and we speculated about how those high hedging costs might have been a red flag for BAC longs. BAC is up about 28% since then, on news of Warren Buffett's $5 billion preferred stock investment in the Berkshire holding. But as David Weidner noted on Tuesday, Buffett followers who piled into the common stock of Goldman Sachs and General Electric after previous preferred stock investments by Buffett are still under water.
