I was long QCOM in the morning, nice trade. I was later short DUG(short oil etf) because I thought oil was going up.I made a half buck. I shorted UYG (double long financials) because I thought financials would get wrecked. They did and I made over a a point. PACR hasn’t made me any real money yet but look at the action the last two days in crappy markets. The Fed minutes revealed a lousy outlook that includes inflation and higher unemployment. Very nice.
For those folks trading DUG on a move down in oil-shouldn’t it have been killed today? Yet it went higher with oil and closed at the highs. Odd isn’t it? From the cursory due diligence I have done, DUG looks like a more correlated play on the action in XOM (Exxon). I don’t have time now, but go pull a chart on DUG and XOM . Around 2pm XOM rolled over and DUG moved higher at the same time, Even with oil at the high of the day. That’s why if I think oil is going lower I just short USO. It worked well for me as a short earlier in the day because EXXON hadn’t rolled over yet. Hope this tid bit helps because I couldn’t understand the dynamic at all. I bought SDS (double short etf) around 3pm as I thought the bulls were scared shitless and wouldn’t be in the mood to make bids. You know how it ended. Be smart and wait for more of a pullback.
As you know I borrowed USO to short. I never did it. Maybe tomorrow.