{+++} Interesting how the indices are boring us to tears , but we are seeing movement in select stocks. If I say it’s a “stock pickers market” then I will sound like all the neophyte pundits on TV, so I wont, but it is.
Look at BDCO, I never heard of it, but pops 10% at the open. We sold half. I took some more profits today as strategy and discipline tell me too, we could explode higher, if so that’s fine. I put on some shorts that you guys can use as a hedge or as a directional bet on the market. I got long some TZA and VXX and started a short in XHB, it may take a while, but I believe housing is in a double dip and mutual funds will realize that when its too late. I also added ROVI as a short. We have some short exposure and that will be it for now, I do reserve the right to switch gears if the market decides to rip higher. If you are wrong in a trade fix it ASAP and let go of your ego. Ego doesn’t pay the freaking mortgage.
Oil, materials and commodities took a breather today as financials came out of their slump. It will be interesting to see if the financials will lead this leg of the charge. Personally? I don’t think it will last long as higher rates and inflation are historically bad for financials, but fundamentals don’t much matter here, its all about returns and immediate gratification.
No names tonight, but I have a few longs up my sleeve if things get ticking tomorrow. I am pulling back here and feel OK with that.