Mechel (MTL) which we talked about this morning is up 10% in a bad tape... I am going to take some off the table here to protect some gains... did a lot of buying in the $115-$120 area in the past 7-10 days, so here at $143s its a nice gain. It is now approaching all time highs, and if it breaks $145+ it will be off to the races technically (I'd probably add more there). However, in a bear market environment gains can be fleeting so I am taking a layer off; but it remains my top long position... I believe fair value is much higher & this remains one of my top 3 favorites in the entire market from a fundamental point of view.
I am reducing my stake from 4.6% of fund to 3.3% with today's sale. I'll consider adding back shares either on a breakout to new highs or a pullback to support.
Long Mechel in fund and personal account
