A Trio Of Charts All Pointing To Market Weakness
Tim Knight | Jul 03, 2013 12:11AM ET
An interesting trading day yesterday, to be sure! The market went rocketing higher, but the damage to my all-short portfolio was never very bad (I came into the day 70% committed in 88 different short positions). As the market started weakening, I pushed into the green, and I stayed there all the way through the close. In spite of the Nasdaq 100 (NDX) being up and the S&P 500 being virtually unchanged, I enjoyed about a 0.36% gain. I’m not going to argue with that.
Over the course of the day, I goosed up my exposure to about 75%. In my options account, I took profits in August iShares MSCI Emerging Markets Index (EEM) and iShares Russell 2000 Index (IWM) puts, and I committed to stick to September-or-later options (I don’t like to screw around with stuff that’s going to expire in the next couple of months).
Overall I was pleased with the day (and, for no particular reason, I had the movie Rogue Trader playing on my big Macintosh screen……….and was amused to discover that Nick Leeson has a Twitter account ).
My view on the market hasn’t changed (in case you didn’t divine that from the fact I’m still entirely short). The NASDAQ is pooping out at its resistance trendline.
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