Friday, May 22, 2009

Yawn .....

just woke up from a 4 hour nap (just kidding) and looking at the market .... emm nothing has happened. Time to do some house cleaning on my positions.

Here they are ....

Yeap - boring day and my accounts want some new greens soon. Please give me more buying.

Kind of hoping the blue was a fake breakout and we trying to fill that GAP here to go for the yellow circle.

Have a good weekend all. I may or may not watch the close here.


  1. What's up my friends? Haven't been very talkitive lately, but please know I'm always keeping up with you guys. Chris, keep up the excellent work, my man.

    Read an interessting article today from one of the only mainstream talking heads I really respect--Doug Kass. He pretty much shares my sentiments for the short term, and why I've been playing and will continue to play the long side until proven otherwise. Almost every blog I visit seems to still be obsessed with the downside. And why wouldn't they be? The charts sure suggest it.
    But until we aren't so overweighted on that side, I don't see how we can subtain an extended downturn.

  2. Kass: Revenge of the Longs
    By Doug Kass
    RealMoney Silver Contributor
    5/22/2009 11:51 AM EDT

    Yesterday was the type of day in which the shorts and the underinvested rip their hair out as the S&P downgrade to negative of England’s credit rating raised concerns that the U.S. credit rating will have a similar fate. U.S. government bonds and notes fell precipitously, and the U.S. stock market briefly looked like it would go into a mid-afternoon free-fall. (Note: The notion of a crowding out and higher interest rates was an integral part of my correction call over the past two weeks.)

    Instead, equities halved their losses late in the day, and in this morning’s trading, futures are solidly in the black.

    Trust me, I have been there on the short side, and I have felt the pain of days like this.

    I continue to surmise that there are so many hedge funds that failed to believe in the recent market surge and that are underinvested and underperforming as a consequence. They recognize that they missed the bottom, and after their dismal performance in 2008, they cannot afford to continue do that path. Stated simply, their businesses are at risk. The only question is when to enter for many, as they simply can’t afford to continue to trail the market averages.

    Then there is the issue of the large U.S. pension funds that are markedly skewed toward fixed income exposure - after the material outperformance of bonds vs. equities - over the course of the last 18 months. With bonds tanking and stocks rallying, a reallocation by these funds out of bonds and into stocks is almost inevitable as these pension plans become the important marginal buyer, ultimately providing classical fuel to a march higher in stocks during the summer, even despite the wall of worries.

    It’s the revenge of the longs.

  3. Chris, where would you add to shorts here? after 875 or some other points?