Today was a very strange day for me. The market was down on the Bernanke non-event, but every stock I own was up. Two of the companies I own had huge breakouts, athenaHealth (ATHN) and Arcos Dorados (ARCO) were up 7% and 4% respectively. Hansen Natural (HANS) was up big too at 2.5%. We could see Hansen Natural (HANS) testing the $90 level again very soon. But for some reason I just don't feel good about this market right now. I'm not so negative as to get short, though many of my fellow traders have done just that, but a few things here worry me. Europe is the obvious one as the world waits with bated breath for the proverbial "other shoe to drop". My other problem is the fact that this market is sure that QE3 is coming on September 21st and I'm not so convinced. While I don't believe QE3 is necessary for the companies I watch to thrive in the coming months, they will get taken down with the rest of the market if we correct. I have raised some cash by selling some Spyder Gold Trust ETF (GLD) puts and Oil Service Holders ETF (OIH) calls yesterday and today and will be ready to put that cash to work.
This is not a recommendation to buy or sell any securities. DAK was long ATHN, ARCO and HANS, and short GLD at time of publication but positions can change at anytime.
No comments:
Post a Comment