It was truly our “God himself could not sink this ship” moment. When the haggard and heartless Pam Bondi shrieked last Wednesday that, instead of focusing on the largest scandal in human history, we should be focused on the fact that the Dow is fifty thousand dollars (……….), that shoved a fork right into the toast.
The market has been breaking down ever since. Who ever thought I would be crediting a graduate of Stetson, ranked as the 99th best law school in the country, for this heroism!
Since that fateful event, in spite of the fact that 99.99999999% of the planet are permabulls, it just ain’t workin’. The erosion has been clear, even with the half-hearted attempt at a rally on Friday to replicate the mega-rally from the Friday prior. Here’s the /ES:
The /NQ is equally stumbling:
I’m particularly focused on the white-hot semiconductor sector, represented here by way of SMH, since I am short AVGO, INTC, NVDA, ARM, MU and, much more aggressively, I own puts on the triple-bullish SOXL.
My best trade from Friday was actually Japan, of all things. I shorted EWJ in size, since I took note of my own post Friday morning that overseas markets were going berserk.
The only thing that is going up, happily, is volatility.
I am going into the day medium-heavy aggressive at 125% committed. I will probably ramp this up as I’ve uncovered some new opportunities over the weekend.
