Oil is back up ,and the financials are getting pounded again. Israel has been running some pretty aggressive “drills” this past week and it has started speculation again that they may attack Iran. Citigroup came out with a miserable outlook on financials yesterday and today Merrill is cutting estimates on the regionals and is expecting more bad news. MBI and AMBAC lost their triple A rating-what a surprise. Sometimes there is an opportunity when the analyst community all downgrade at the same time. We all know how value added analysts are. I am still not a believer although I do own a little WB with some way out calls.
Today could be rough with oil up and financials under more duress and frankly I will trade small. I will be watching some opportunities in the oil patch and maybe some quick shorts in the financials.
NEW ETF– Proshares has a new double short oil etf, the symbol is DTO. I am trying to gather some info when I get chance. It has only been trading a few days. I would like to see if trades more in line with oil than DUG does. If it is just a play on crude than this is the one I will play going forward.