There's blood in the streets, it's up to my knee
Blood on the streets in the town of Chicago
Blood on the rise, it's following me (The Doors) I hear ya, Jim, but when one Door closes, another Door opens. This red mess is certainly painful, but invariably, this too shall pass and lead to fresh opportunity. What you must decide---and there is no one answer---is the best method to your particular madness. Each individual has a distinct pain tolerance, risk profile and time frame. Make decisions that are consistent with your means and always allow for a margin of error. It's a game of longevity, my friends, slow and steady will win the race. The BKX has now lopped off almost 100 handles (points) since Tuesday's close and that's an insane drubbing in a matter of days. I speak to a lot of traders who tell me that (stocks) are "too low to short" and, ultimately, that's a bearish sign. If there are fewer shorts in the market, there will be less synthetic demand that's created as a function of covering. This is not a call for today, per se, but it's something to note as we wade our way through this period of price discovery. What a week...that Tuesday rally feels like it occurred dog years ago! Was that really three sessions? My goodness...please tell me I'm not the only one who's feeling it after a long week. Maybe it's a function of the tape...or perhaps it's the beating I took last night at the "hands" of those pesky Grey Geese! Masochist! Do yourself a favor and splash some water on your face as we edge towards the bell. The decisions you make over the next hour or so will dictate your risk profile for Monday. I know you're tired, but shake it off and maintain lucidity...we're almost there. Good luck! R.P No positions in stocks mentioned
Todd Harrison is the founder and Chief Executive Officer of Minyanville. Prior to his current role, Mr. Harrison was President and head trader at a $400 million dollar New York-based hedge fund. Todd welcomes your comments and/or feedback at firstname.lastname@example.org.
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