Good morning, fellow Slopers. Considering that World War III is happening all around us, the market is slumped in a corner, picking its nose. Except for the brief “excursion” (Trump’s latest synonym for war), bounded by the red rectangle, the market has been relatively moribund. As I’m typing these words, the /ES is down literally 0.01%. It’s a joke.
Crude oil also seems to be signaling that this entire Iran war nonsense is a tempest in a Strait of Hormuz. The entire panic lift is long gone.
My view is that equities peaked their recoveries yesterday. I am amping up my own war of choice with more aggressive shorting. Here is resistance for the small caps IWM:
Resistance likewise was established yesterday with the high-tech QQQ:
I just entered a fresh short on the weakest among these, the Dow 30 DIA:
Here’s an overview of my own portfolio:
- 39 short positions
- Among those, short SPY and DIA and also SMH (by way of puts)
- Puts expire no sooner than June and in some cases extend into 2027
- All positions profitable, some deeply so
- As always, tidying up each one with fresh stop-loss levels where appropriate
