Wednesday, May 12, 2010

Balance and recognition

I am fairly prepared to trade from a position of balance in this bipolar (tripolar?) market. It's the recognition that I am lacking in. I approached today with almost extreme caution, overdoing it with the hedge position. That cost me.

Now that we're practically in overbought condition again, where will the market open tomorrow? I'll pass on an overnight position in BIDU. It's a snapper of a stock in both directions. Tough to handle here at 79ish.

Positions: 43% short-term long, 57% cash.

How long until gold finally capsizes a little? That massive ship can only hold so many passengers. What a spectacle. Now that I've lost interest in hedging (a typical crowd follower), VXX, SKF, SDS and TZA will probably run in the morning.

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