A Good Day To Wake Up Late
Having missed the market open by about an hour, I didn’t have to do any guess work as to the markets direction. SMN (double short basic materials) is up 6.97%, UYG (double long financials) down 4.85%, which is roughly a 2% gain on a -1.5% day. Thus, the hedge trade worked, but there was no reason to go long the financials w/ the news on Bear Sterns. Oil still made a nice new high, but Silver had a sharp drop early in the morning, and at this pace, it could easily work its way bay to 17 dollars an ounce. Perhaps we’re gonna get a nice correction in commodities as the bear eats everything.
Having said that, I’m pretty disappointed with the last few months of trading. I’m showing ~6% gain for the last 2 months of trading, which is a anemic 3% a month. That’s just fine and dandy if you have $100,000 and don’t mind living on a shoe string, but I’m not even half way there. On a brighter note, the SPY is down about 15% in the same period, so I don’t want to give up trading because it seems to be working. By the same token, I could have put all of my money into gold in May of 06, and laugh all the way to the bank, no trading, no fucking around, just laughing… Come to think of it, my 6% gain barely covers the drop in the dollar against… EVERYTHING. Glad I went to Europe last summer, because trips overseas are getting more expensive by the day.