Eric at iTulip.com made a good post yesterday about why he is shorting the market now. (Thanks, Perry for that tip on how to open a new window.)
He writes, “mostly I try to dump the asset class de jour near–not at–the top of the current bubble cycle and go to cash while looking for the next one to ride. I do take sometimes take some short positions in the transitions, but these are never more than 10% of my portfolio. Two reasons. One, as Jeff points out, hardly anyone gets the timing right to pull it off. Two, if you buy and sell trend changes near the top and near the bottom, you don’t have to.”
