The global stage did not quite play out to my plan, but I didn't want to get in too early with the shorts like I did in mid May this year. However, after the carnage overseas last night I decided to open a bunch of shorts this morning just in case the global markets sell off gains strength tonight. The DAX is already down over 2% tonight, and the US futures are red, hence, lets see what happens.
CBA is one of my shorts, although almost two weeks earlier than I originally planned. However, if CBA reverses again to the upside heading towards the ex-div date, I will do a one of average up about a week out from the ex-div date.
MQG didn't really meet my criteria for a short, but as Flem was so enthusiastic about MQG this morning I shorted MQG anyway. If this short trade comes good then I will owe you one Flem, but if it ends in tears, I will tell you where to drop off my slab.
The other shorts that I opened this morning are all stocks that were technically overbought. They are BHP, BSL, NAB, RIO, TLS, and WES. At the close today my new bunch of shorts is in the green. By the way I didn't go in ultra heavy today, just used up about 25% of my CFD margin. The time when I err to the cautious side could well be the time that I should have gone in full throttle.
If the global sell off does gain some traction, then I will probably add to my shorts next week, plus I am thinking about buying some SPXU, which is like the Aussie BEAR, but has 10% leverage where the BEAR has no leverage. I also noted that the SPXU is very liquid, but the BEAR appears to have very low volumes.
I was also thinking about buying a Gold ETF, but the pog didn't react overnight like I thought it would (I thought it would go up). There are too many factors that determine the pog for me to comprehend at the moment.
