Update on Portfolio (further in both directions)

I did add to new-leadership in the second half of the session, but I increased my SRS-hedge at the same time. I'm similarly hedged then, as far as weightings, but now hold a larger position underneath (trade-fills are on Twitter feed on right).

If we crush further tomorrow, I'm going to be exposed some, unless I can finagle a larger hedge at an opportune time (I'll be up early tomorrow, looking at sales tags around the world). But at the same time with one simple cover I can be fully long and sufficiently large; by unloading SRS. Being able to position immediately fully long would be advantageous in the very small chance the market doesn't continue straight down here and make so many professionals so brilliant for saying so.

Today was not watershed in terms of Advances vs. Declines, Up/Down ratios, and certainly not in the number of new 52-week lows. But volume was significant on the negative reversal.

Total Position: plays roughly 2-to-1 net-long (considering levered SRS); 55% invested

Currently Long (according to size): CTSH (7.4%), RJI (6.3%), CLW (5.2%), CYOU (5.1%), GNW (5.1%), CORE (5.1%), SWM (5%), MRVL (4.4%)

Currently Short (according to size): SRS-long (US Real Est. Dbl-short; (11.9% position)
(Note: inverse-ETF SRS represents being dbl-short the respective index)

Futures Accounts: no position

Quicknote (hedged some - eyeing otherwise)

The good news - 450 CNBC shouts and counting, that the market correction is under way. Logic dictates downside legs will be limited; we'll see.

The bad news - a rather ugly reversal on good news (again, but worse this time + strong, rising volume), a strengthening dollar (and lower commodity prices), exploding volatility and a perceptible downtrend now in the indices.

While I got whipped a bit today, I am excited that I can now start scaling into newer leadership (ex: SWM) on a slice downward. Not rushing in just yet; but perhaps a little more at the close, depending.

And I've taken on a decent amount now of SRS (Commercial Real Estate Ultrashort), to afford the undertaking.

In a nutshell, still rather lean overall at the moment, but happy to see everyone clearing out when the market has only corrected a few percent.

Total Position: plays roughly 2-to-1 net-long (considering levered SRS); 42% invested

Currently Long (according to size): CTSH (7.4%), RJI (6.3%), CYOU (5.1%), CORE (5.1%), SWM (5%), MRVL (4.4%)

Currently Short (according to size): SRS-long (US Real Est. Dbl-short; (8.2% position)
(Note: inverse-ETF SRS represents being dbl-short the respective index)

Futures Accounts: no position

Tin Can Logic (back from traveling)

Back at my trading desk now, after two months out of the country.

I could say plenty about my trip, as well as current markets, but I'll be brief (...bam!).

Regarding the markets, let's sum it up by highlighting that the investor public and financial media remain fixated on potential negative effects of a weak economy on stocks (especially after such a strong run up) - coincident with action in the market which remains significantly constructive; consolidating at worst. This is a key factor, as the strongest advancing markets historically climb mostly prior to proven improved economic data. By the time the public is aware the economy has certainly improved, the easy money and often the rally altogether is already behind.

The light for the moment remains green for buying and holding. More on this in upcoming posts.

As far as my trip, I'll likely delve more into that, but I'll share this much for now:

In Amsterdam it is easy enough to find an open wifi signal (unlike the majority of my travel this summer). But one secure-network I came across last week had a very catchy name: We're Online - Fuck All of You.

Total Position: 100% net-long, 62% invested

Currently Long (according to size): MRVL (8.2%), BIDU (6.9%), NTAP (5.5%), CPSL 5.5%, CNQR 5.3%, CORE (5.3%), CTSH (5.1%), STEC (5.1%), CYOU (5.1%), LFT (4.8%), RAX (4.7%)

Currently Short (according to size): no position

Futures Accounts: no position