Still holding HEWG- surprisingly, despite the Greece refusal - HEWG was up- at least on Friday-
I have limit orders pending for both PJP & XBI-
PJP $77.25 & XBI 15 @ $238.00.
Both of these orders are placed within a prior consolidation range- It is entirely possible that price will not retrace to these lower levels- It's all about Greece - Again.
Wow- HEWG of course stopped out $26.66.
Bad day for the markets- good day for anyone holding short positions-
I'm presently all cash in my IB account- with both PJP and XBI coming close to the level I have limit orders for. Cash position is $15,421.00- down from $16,225 . or a -5% drawdown.
Actually, a 5% account drawdown is Nada- nothing in the larger scheme of things- but i
I will say , that adopting the more stringent faster chart recently- and taking steps - such as raising the stop-loss on XBI & PJP to lock in gains on signs of weakness- prevented a larger decline and locked in some gains on both of those trades-
Btw- I'm not adverse to taking short positions- or volatility positions- Wish I had some on- but too busy and not in tune .- In my IRA account, I have been largely 98% cash for months- In Part because the markets are highly valued- and the other part is that the IRA account only offers mutual funds- and has restrictions on moving assets - and no stop-losses- all at higher expense ratios. I think I have simply postponed the decision as to where i will move those assets to- Vanguard- Wealthfront-ICA- there are several others- or something i could possibly try to manage myself- My stint this year trading this past 6 months shows that i am not the agile informed tactical trader that can snatch gains from a volatile market-
and that i do not have the personal time available to consider managing a larger amount of assets- nor the expertise to manage a portfolio allocation - and periodic rebalancing-
By active trading, I, or 'we' 'feel' we exert a certain amount of control over our financial destiny. We have entry points and stop-losses, and elect to follow a certain set of parameters- a time frame we think we are in tune with-
What happens- when the parameters of that time frame are broken by the market choosing to hold a sell-off day or two or three? Do we stay the course, or is the volatility too uncomfortable? What if the volatility causes a 5% decline/ ? That's traditionally been a 'Buying' opportunity these past 5-6 years. What about -10% ? More than that? Where will it end? No one knows when the snowball starts rolling and gathers momentum and becomes much larger than anyone expects.
I caught a partial clip of Cramer tonight post CNBC- Suggesting that today was not a Buy opportunity- That this pullback could be perhaps much larger- perhaps more dangerous due to the large % of complacent market holders. Throw in Puerto Rico when you're talking about debts that will remain unpaid.......i didn't even watch it all-
It's television, good theatre- BUT,
LOOK at BRKB- The Canary has dropped to the bottom of it's cage. Looks ready to go lower Nexzt support is 126.00 $tran sells the same picture- Weakness-
Quite simply- No one knows where this decline will stop and move higher- A resiliant market would shrug off Greece, Puerto Rico and minor economic disruptions- Instead, these may spark the sell-off fears.
Why bother with this long winded post?
IF BRKB blew through a prior support level without nary a pause, Where might the overheated -highly priced biotech sector go to? How about $215? for XBI? $74.59 for PJP-
I have lowered my limit orders and increased my share/position size-Weekly chart view-
