Friday, January 04, 2008


I let go of my hedges in the last 30 minutes, taking the day's profits on TWM and CYMI. I also dumped the BCSI, which closed well-below the 200-day mentioned earlier.

I've seen prettier market sessions, to be sure, but I still see relative strength on the tape in the growth names and I'll give this position Monday to see if I can survive. The past several flush-days have not followed through the following session (and while that suggests we'll see upside on Monday, it also means the emotion will intensify Monday if selling pressure persists - the psychology of hope is then broken and boiling bath-water is hurled out the window; pencil-sharp tech analysts cry broken! broken! and Maria Bartiromos thrust hard into pert vocal chords). I would get hedged or get out altogether in that case; obv. against my wishes since I like the nature of these holdings. I'll glance at everything fresh this wkend - but when I look at these names now I just can't find the depression...we'll see Monday. Obv. I should have cut the MICC earlier and unloaded further FWLT.

The market doesn't always behave as it should and the first week of the year can portend the year itself (I'm sure you've heard mentioned), but aggressive growth stocks typically do well in January and they look more or less 'fine' at moment (and incredible compared to some areas). I don't need the market up all year anyway. If you're asking why I didn't hold the (partial) hedge over the weekend, I'm asking myself that same question now. Call it an unconscious decision I guess. My neck's out a little bit here if we should gap down hard on Monday - Bah!

Current (order of size): ONXX, MICC, FWLT, GENZ, HOLX, JASO, LNN, AIR, YGE, CAF

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