Playing It Safe(r)

By -

Between Sunday afternoon and Tuesday afternoon, I imagine most traders – bull and bear alike – had pretty much pulled most of their hair out. Huge up. Huge down. Huge up. The entirety of the Spanish drama has come and gone, and prices are pretty much where they all were at Friday's close. It's as if nothing happened (but a lot did happen in between).

For my own portfolio, it stands as follows:

+ About 52% committed to positions, the rest in cash;
+ 59 individual shorts, all of them small;
+ 5 longs, all of them ETFs, and all of them medium-sized;
+ A split of 70% short/30% long 

As we are about 80% of the way through Q2, I am getting cautious about preserving profits. April was profitable for me. So was May. So is June, thus far. I don't want anything to change that!

Thus, I am playing it safe and waiting for The Bearded One to do his thing next week. That will take a huge amount of uncertainty off the table (to say nothing of the Greek elections this weekend!)

The five longs I have are shown below in line graph, minute-bar form. I've tinted the sorta-kinda price zone where I think they maybe-might reach (of course, my loyalty to long positions is very weak, so I will happily throw any of them under the nearest bus if they don't behave themselves).

I would add, incidentally, that part of my caution is based on some very cool stuff I've been seeing in SocialTrade. This is exciting to me, because I'm not just hyping the product to get you to use it – – I'm actually using the damned thing myself, and it's helping! That is a curiously rewarding feeling.

See ya Wednesday.