[quote=temeculaguy]What happens after this wave?
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Exactly two months ago I sat in my backyard, drinking a 30 year old port, smoking a macanudo with some buddies and talked about my theories telling …
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There’s your problem right there. Macanudos. Try something a little more adult, like a Padron, Nestor Mancina, or a Carlos Torano Signature Edition.
I didn’t have the stones to go with homebuilders nor did I catch the 3/8 bottom. I did finally jump 3/18 but went with a couple of financials, chemicals, industrials, rails, a biotech bet, and speaking of bets, a couple of casinos. I wanted AA and MTW but ran out of cash. I’m afraid that opportunity is gone.
I’m on the fence as to taking the money and run, or taking a dare and waiting till next year to qualify for the long term tax rate. This might just get me enough to finish the house pay off, which is the huge bet I’ve placed. Sure I’d like the porsche, but would really buy a S2000 before their gone. Instead I just want the house paid off before I get laid off. :{
It’s a gamble as I think the rise is only temporary, I can’t pick is it a 8 week run or an 8 month run, but I don’t think it’s a long term rally. I’m looking at trailing stops now as a way of protecting what I’ve gained.
I just don’t think the great “un-winding” of leverage is done nor will it go as smoothly as some would have you to believe.
Stay hard, wait for the inevitable pull back, next time set an entry point and follow it. Hell, it’s only money. 😉
