I am really enjoying this market now.
Wait, Tim, what? The /ES is up almost 60 points right now! The /NQ is up hundreds of points! The biggest stocks are trading at the highest levels in human history! Are you some kind of financial masochist? I mean, just look at the NASDAQ futures right now, as they soar to unprecedented levels!
Settle down. I know all that. And yet my 27 short positions are doing fine, thanks so much. Yes, it’s true, one of those 27 is QQQ, but you know what I’m going to do? ADD MORE! I’m feeling great about this market! Added to which, my largest position – – the small caps – – is having none of those good feelings.
Plus, China, by way of FXI – – my second-largest position – – is continuing to wither away. I actually PREFER being a successful bear in the midst of a raging bull market not only because it’s showing that I’m making the right choices, but also because when weakness eventually does show up, my carefully chosen picks will do all the better.
I did let one opportunity slip away, which is ALGN. I don’t blame myself too hard for this, because it’s a pretty obscure stock, but it’s absolutely the kind of long-term price failure which attracts me.
This morning, the stock is getting absolutely nuked. Oh, well.
I also had stopped paying attention the ARM Holdings. Here’s the daily chart, but not reflected here is the big drop that’s about to hit this issue. I say again, oh well. I look at hundreds of charts per day – – over a thousand, if I have the time – – but some fish flip through the net.
I am short, however, BTU, which is behaving itself beautiful. In point of fact, I’m liking energy shorts more and more right now. I’m already in a number of them, including HAL and COP.
This afternoon is, of course, AMZN and AAPL, which will pretty much wrap up the cool and fun part of the earnings season. I say sincerely, however, that this feels like a true stock picker’s market to me again, which is all I’ve ever really asked for.
