Sunday, October 30, 2016

Oct 30 - Equities on standby

I have to admit I am not trying to get caught up in all this Clinton email noise but for sure the market looks soggy.  High beta is getting whacked and I am leaning towards some kind of small/ mid sized flushout to start the Q4 rally.  Perhaps all it will take is a Clinton win and we are off the races.

I lightened up my longs a lot this week and only have the Dec VXX puts, HMSY, and BIDU.  In general was a very disappointing week as I had profits on most of my positions but didn't act quickly enough.  AT close I put on XLF puts for a short term play.  I am looking to add biotech at some point but not now.  Also would like to add WFC again but want a pullback.

In all, my positioning is more of wait and see mode.

Negative divergence on daily

And if we sell off I will look to cover when stochs/ RSI bottom out.

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May 15 - Closed out IWM puts for +120% and picked up DAL and HD Jun calls

I'm going to let the market do its thing this week and probably stay away from new positions until Friday unless something very good pop...