Well, it seems like people are starting to wise up and take profits. The market has slipped over 3% in the last two days and even with some good news today in the job market, it seems that it is questioning further and even long-term growth. The large budget deficit that's expected to accumluate, along with the lack of direction as to where job growth is going to come from, has officially stalled this rally.
I sold my Citi (C) position on Thursday and took a nice 120% profit - I haven't used options very much but this shows you how nice the reward can be when you get it right! Citi was the last of my sizing down that I did on my portfolio, I expected the market to pullback soon and I too wanted my profits. I am sitting on the sidelines waiting for some more oppotunities, and if the market keeps dropping they should be plentiful. The last opportunity I saw was AIG on Friday, as it approached a price that screamed rediculous I called my dad - unfortunately I was at a golf tournament and couldn't make my own moves - and I told him he should short the stock. Well if he did (he's a bit stubborn sometimes as all parents are so I doubt he did), he would have made about 30% on that quick play.
My strategy for now is to stay out of the market until I can get an idea of where the mass population is going with this selloff and until some more opportunities present themselves. I'll let you know when I find another opportunity, until then hold steady!!
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment