To: Grashopper who wrote (24681 ) 4/12/2000 9:52:00 PM From: Zeev Hed Read Replies (2) | Respond to
OK, I'll try, I reentered RMBS at $465/16 on that famous Tuesday a week ago, not thinking it will take out the $50 to $51 area, I bailed out at $49-7/8. I was wrong, and thus reentered at $52, hoping that earnings season coupled with liquidity (early April, typical), will carry us through the $58 resistance area, once more I found myself wrong, and exited when the NAZ indicated to me that we will not get the 62% retracement. I reentered today (since I put back a GTC at $51.5, just above the support), once more hoping that we are close to a turn (with the NAZ tick reaching again an extreme of -1111), but unfortunately, I am far from being infallible, so, if this entry proves to be, once more, mistimed, I am ready to take a small loss (SL just under $49 on a closing basis) and jump back in if the 46 area proves to be a good support. The way many stocks behaved today, I may be kicked out tomorrow, on the other hand, the blow out earnings of AMD might reenergize the sector. So I have a 50%/50% type of risk, with close limits of exposure (and as you can see from this week, even a cushion of profits to pay for the eventual losses that whipsaws sometimes bring. I still hope the NAZ stabilizes here and forge ahead to the end of the month, and still expect May to be even nastier that April, but in the meanwhile, if money can be made, I'll try. Remember that right now my I have a cash position of 45% (decreased from 80% or so in the last two days).
