Thursday, June 10, 2010

Bookkeeping: Closing SL Green Realty (SLG)

TweetThis
My timing on REITs has been horrific the past year and a half; I will wipe away the egg on my face yet again and sell SL Green (SLG) on strength here.  If the stock moves over $64 it could begin a new leg up but I want to use our +3% days (which now come every 4th or 5th session) to lighten up on losers.  I have about a 0.5% exposure left over in which I am taking a 11% loss on.  Which is better than the 16% loss I was staring at yesterday.



I am interested in how bullish many people have become today... at this point this bounce is no different than the two 3% moves we've had in the past 10 sessions.  A print anywhere between 1040 and 1100 really means very little in my vision; we're just ping ponging in a big range.  In retrospect perhaps one of these times we'll look back and say "that 3% move actually meant something" but no one can tell yet.  Until we get over the 200 day moving average on the S&P 500 I see little to get excited about. That said, I see today easily ending at highs of the days as computers rush in to mark up the close.

I now have 9 outstanding limit short orders, each about 1.5 to 2.5% in exposure.  I am hoping 4-5 hit if we get a Kool Aid rush tomorrow and get near 1100 on the S&P.  If this is a new V shape bounce (of which I believe there is a 10% chance happening - i.e. unlikely) I will cover those as all entry points are very near resistance areas.  But for now I still need many of these stocks to rally another 3-6%.  As I wrote last week this market is not easy for the bears even thought we're in a downtrend as the multiple +3% days have dashed many a profit for those who do not take their gains immediately.  Holding risk overnight long or short is a pure gamble nowadays as each day ignores the previous.  The market's attention span gets shorter and shorter, it used to be that of a 7 year old... now it's closer to a 3 year old.


No position


x


Disclaimer: The opinions listed on this blog are for educational purpose only. You should do your own research before making any decisions.
This blog, its affiliates, partners or authors are not responsible or liable for any misstatements and/or losses you might sustain from the content provided.

Copyright @2012 FundMyMutualFund.com