Friday, June 11, 2010

Updated Position (pawning prudence)

We should all be happy now.

Leadership growth is right back to highs (again!) as it still requires but a hint of broad market upside to see these leaders arcade higher.

Bears can stay hungry, as the volume on this rally is quite low, GS and AAPL have both become laggards now, and of course - the world is still a sink-hole.

I'm personally happy, as it pleases me terrific when leadership is rising at the same time the buy-only crowd have talked themselves out of the arena (and in universal concert!). Frankly, the smarter folks who have been stabbing short do not impress me - I should expect as much. But for retail blow-hards who cannot swing short, the fact that they are adamant, conjoined and convinced they need to keep safe (fearful of coming out to play), when at the same time there are so many powerful stocks out there - such things keep my animal spirits palpably high.

I am easing on exposure today, however, after pushing back to >5-1 net-long yesterday. Even if it is the beginning of a real and tradable rally, it is still early, it requires confirmation (again!) and I can't go into the weekend with all powder employed arrogantly.

So, just as I've been told, universally for some time now, I'm getting smaller - taking a bit of risk off the table.

I might reduce further today, depending on the action. You've got to dodge bullets in a market like this :)

Total Position
: Currently ~3.4-to-1 net-long; 80% invested

Currently Long (according to size): EWS-Singapore (6.6%); CRM (6.2%); LULU (6.1%); AKAM (5.9%); AVGO (5.5%); ULTA (increased today, 5.4%); OIL (reduced today, 5.4%); NTAP (5.3%); SBUX (5.1%); EWY-S.Korea (4.2%); GIL (4.1%); CSTR (3.8%); CISG (3.5%)

Currently Short: EPV-long (Europe Dbl-short, 5.4%); APOL (4.5%); QID-long (NDX Index Dbl-short, 3.9%)
Note: Inverse ETFs currently weighted @1.6 x's

Futures: no current position

Twittspitt for details

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