For long-only portfolio managers today's market set-back might be bad news but for active traders such as ourselves it was a wonderful shake-up of volatility. We wrote in our newsletter last night, "What's keeping us sane in this insane market is simply not thinking about it too much, making jokes, and trading the set-ups. That's it." The frustration was audible.
Even though we shorted today (FCX through trend-line whose chart we posted on our account and some fun with SPY) we also traded long on support (GG AEM CNQ SU) and will be looking at long support set-ups for next week.
Bullish sentiment as strong as the one we have been swimming in does not die this easily (AAPL closed down 0.54%!) and for now we believe support long trades will work well and that will be our focus-- until proven otherwise.
For the first time in a while we'll be looking forward to writing the newsletter this weekend. Thanks Goldman!
As an aside we couldn't agree more with Reformed Broker's Post
Cynical? Yes. But alas so is the reality of Wall St.