Well, the carnage is over for now. I should have gotten out of all my longs yesterday as I was getting into the shorts. If only I could know why I don't always do what I know to be the right thing. All things considered it was a so-so day.
When the sell off ceases, I'll be buying AMAT KLAC and a slew of other semCaps, as well as MU RMBS, ATML, ADI on the "hardware side". SUNW, CSCO, and WCOM on the internet side, and YPF, UBB, PBY, TBH, and KEA to diversify my portfolio (as well as enhance its gains). But for now, the short side is where I'll dwell.
Incidently, my fray into shorting the microcap bubbles has been rewarding beyond the monetary gains; reading those message boards provides an amusing insight into the one-sided view that one can get into in such cases. For example, there is the quote on JBOH board on yahoo that says because JBO has not massively advertised its new level 2 features, then the only logical explanation is that they are being acquired. Talk about wishful thinking! And there is market dynamic guru who says that with such light volume, the shorts are in control and that is why the stock is going down (somewhat correct). From this he concludes that the longs should "hold on" until the sell off is over and the volume picks up again. I don't know about you, but if I ever feel that the buyers are out of money and the sellers are in control, I get the hell out of the way (if I can't short the stock).
I am hoping (I hate that word) for a good bounce back in my long stocks.
good luck to all
Sun Tzu |
