No Turkey Rally

Who would have thunk it?  A 1% red gap to start the day and a massive a closing dip to end the day before Thanksgiving with 2% in red, making this 4.44% red  week the worst Thanksgiving week ever.  Wow!   On the other hand, who would have thunk the best-ever October rally of nearly 20% just over 3 weeks ago?!   One thing is for sure, the market is determined to frustrate ALL without exceptions!

Overnight bad news about failed Dexia Bank bailout in Belgium, and a new low in the Chinese PMI presented a one-two punch on the futures.  I was surprised the gap was only 1% by the time market opened this morning.  The MMs must have deployed a lot of capital to keep it up in order to cut loss.  Anyway, today’s drop was an absolute eye sore on the chart.

The next support would be the Fibonacci 38.2 level at 115.78.   I wouldn’t have minded a Thanksgiving rally so I could reload some, but obviously I don’t get my wish.  I ended up selling 800 shares of SPXU at average price of 17.09.   I am but 1,200 shares away from being liberated with my SPXU position.   Unsurprisingly, now that my fears are gone, greed is trying to get in the front seat.   I will have to watch it and not let it get out of hand and get myself into trouble again.

Happy Thanksgiving!

Portfolio Value: $133,200

PS. As a memento, here’s a daily chart of a recent IPO, Groupon.  It’s a display of greed gone wrong.  Groupon was smart to raise capitals by reducing the float to hype up the demand.

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3 Responses to No Turkey Rally

  1. GreedyKojiro says:

    Groupon is way over hyped. Their business model is just flaw. I foresee their bankruptcy on the horizon.

  2. GreedyKojiro says:

    Happy Thanksgiving! I’m curious to see your portfolio value as of today. Your turkey def tasted better yesterday 😉

    • Definitely feeling liberated now that my holding are so much lighter. This is reminiscent of the July selling — market didn’t give much room to reload. My portfolio value stayed the same today with market finishing flat. I was tempted to sell out during pre-market due to oversold conditions but I hesitated and the futures rebounded with a vengeance. If I had been quicker, I’d have been very happy because I’m sure I’d have reloaded as the market tested the previous day high intraday before giving everything all back. My current position size wouldn’t cause much swing in my portfolio value any more. Good and bad. Perfect scenario is the market continues down until I sold out my last shares of SPXU. As much as I’d like to reload, I kind of like to have a clean slate.

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