I am too early this time. But it's good to switch from commodity related stocks to financials. Now I think the bottom, at least a near term bottom is in. How long will it last, I don't know. Considering following:
- Dow was down 800 points, and closed down "only" 370.
- VIX was 58 before closed at 52, a new all time high.
- New lows vs new highs is out of the chart.
- Everything was sold today, tech, energy, financials, every sectors.
I added QLD and a little KOL today. I again hope for a bounce. But with market in uncharted environment, we may have another sell off. But now, again, I think it's great to be in financials, since the 700B rescue plan will be for financials.
I am under water for the year, yes, better than Dow, Nasdaq or S&P500, but that's not excuse for losing money. Early this year, I was way ahead and gaining a good percentage! Now I am still ahead than general market, but two more days like this, I will fall behind the market. It's the struggle!
I learned a lot, the most important lessons:
- Take profit. I had big profit in several stocks(ETFs) that I sold for a loss later on.
- Wait long enough to enter a position, specially in a bear market.
1 comments:
I learn from your blog about the bear market stocks, such as SDS, they are doing GREAT!!! Check the Dow the past 6 months it keeps on going down. What reason is there to gain? more jobs?, more production? (who is buying outside the US?), more productivity? NO to all of them. It is only an illusion the strong dollar. Hang in there and get protected for more bear market. The 700B may give just a hump, but the reality is we are going down, I believe the bottom is still long ways down . . . Hope it help . . .
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