My target of S&P 1128 has been hit, and slightly exceeded, ahead of the Fed meeting. Certainly eager traders who know view the stock market as "risk less" (with new rounds of Federal Reserve gunpowder coming our way) may take the market ever higher right into tomorrow's announcement but I don't want any part of the bipolar action that will happen, with a levered ETF. As I wrote Friday you never know which of the levered ETFs will outperform and in this case my old horse TNA has outperformed BGU by a 2:1 margin on the day today as small caps outperform large caps. That said, I am going to take the 2.25% gain for 24 hours of work and exit the stake. Would have preferred the 4%+ of course!
I will re-assess an index position post meeting when the risk profile on the market is lower. However, absent news I have to say the technical condition is shaping up quite bullish... if Ben delivers his goodie basket, a move over S&P 1131 is going to set off celebrations in the silicon (HAL) and carbon based world.
Monday, August 9, 2010
Bookkeeping: Selling Direxion Large Cap Bull 3x (BGU)
Best Of FMMF
- 1: Warren Buffet Piles on Europe
- 2: [Video] Jim Chanos Returns from Europe, Even More Bearish on China
- 3: A Chart to Open Our Eyes - Staggering Changes by Multinationals in Employment Behavior 00s vs 90s
- 4: Futures Blasted on Dexia Woes... and Poor Preliminary China Data
- 5: Market Working to Worst Thanksgiving Since 1932
- 6: Et Tu, German Bonds? Poor Auction Raises Eyebrows