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Strategies & Market Trends : Pump's daily trading recs, emphasis on short selling -- Ignore unavailable to you. Want to Upgrade?


To: BenThair who wrote (4611)7/24/2001 9:42:52 PM
From: Michail Shadkin  Respond to of 6873
 
BenThair - Re: balanced portfolio and hedging

My strategy:
Buy the Champs and Short the Chumps.

I like to have a balanced portfolio.
I like being 3 to 2 to the short side most of the time.

At times when opportunities arise, I might become as much as 4-5 to 1 to the short side.

I like buying value oriented longs that offset many of my shorts. The hope is that these long will not get affected much when market tanks or move higher and offset some of my current shorts.

Feeling that we are due for a very short term bounce, I actually became very tiny net long today going into tomorrow.

A balanced approach reduces risk significantly and at the same time can improve profitability.

Michail