The Big Chill
How are you supposed to trade in this muck?!?!
My fellow Minyans, I pride myself on my ethical standing and, as such, I strive to keep innuendo and rumors out of the Minyanville community. However, I felt compelled to share the trading chatter of the explosion before I "saw" it because the initial two handle dip in the Spooz coincided with this story getting "loud" in trading circles.
I'm in no position to comment on the nature of the explosion but, while it's likely an accident, it brought chills to my spine. As I watch black smoke rise from downtown Manhattan, I can't help but recall the last time I saw these types of images. It's sort of like bruising an old wound--it's not as bad as the first injury but you'll never forget it's there. Prayers to the souls involved and to those fighting this blaze.
Turning our attention back to the market, my buddy Rick just asked me if breaking a level on a perceived terrorist attack "counts" as a breach. I told him that these types of situations aren't covered in Technicals 101 and I didn't know the answer. I DO know that when we melted quickly, I made partial sales on my March paper puts. I didn't have the gumption (or desire) to get long but I wanted to take advantage of the emotional spike (on both a directional and volatility basis).
I'm still leaning short and, as such, I'm comfortable leaving my leg in that goofy bear costume. The tea leaves are a bit mixed--the dollar and gold are flat, the Nazz breadth is slipping, the brokers and semis are heavy, the banks and retailers are firm and Europe is now mixed. I still wanna fade rallies but I'm not pressing--so you know. I'm sure some people did and, if this is ruled an accident, they'll likely have to cover soon.
May peace be with you.
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 email@example.com.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Daily Recap Newsletter