By Todd Harrison Oct 22, 2004 3:34 pm
May peace be with you!
It was later than I thought
When I first believed you
Now I cannot share your laughter
Ship of Fools
The testy Minx is testing Hoofs as we edge to the end of a rather long week. With the notable exception of Google (GOOG:NASD)--which will evidently spend the weekend partying with Prince--the action has been murky all session long. The semis are off 3.5%, crude is 1.5% higher, drugs are getting smoked, levels are breaking and low-level chatter of terror alerts is making its way through the fray. It's enough to drive a critter to Fenway!
I've traded more today than I have in a mighty long time and I'm happy to hit the door a bit more balanced than I was this morning. The onus is on each of us to adapt to the market and integrate the environment into our stylistic approach. While I continue to have reservations in front of the election (market, not dinner), I'll keep my risk profile defined both ways. It's not the most glamorous of postures, granted, but I'll leave the bright lights and big cities to the shooters out there.
The obvious levels to focus on are S&P 1100 (last support before 1080 and 1060), NDX 1440 (200-day), XBD 130 (holding tight). The tape will trade increasingly anxious (not bullish or bearish--just emotional) into November 2nd and if there isn't electoral resolution, it'll get sloppy. It's impossible to game catalysts you can't see but it's certainly worth a mention as we edge through the muck. The consensus seems to be that we'll get a relief rally after the polls close which likely means it'll happen sooner or not at all.
It's been a hairy week all the way around so please forgive me as I cut this missive short. My eyes, ears, hands, mouth and belly are all tired and I've got some manicuring to do before I power down my pad and turn my attention to the important stuff. I will again offer that the definition of an investment should never be a trade gone awry so give some thought to your exposure. And remember, Minyans, good traders know how to make money but great traders know how to take a loss.
Fare ye well into the bell and have a healthy, safe and enjoyable weekend!
No positions in stocks mentioned.
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