With the market's positive retaction to the Central Bank's action and the early positive results out of the retail sector I am removing all short positions from the portfolio. The IVV has blown right through its 50 day simple moving average which is generally a nice first signal towards positive trend change, but I am not a buyer just yet. I am going to sell the short ETFs on any market pullbacks in the next few days and am going to keep watch for more signs of positivity. I will hold the GLD and the LQD and look to strategically deploy cash here in the next few weeks if needed.
As of this morning the portfolio is underperforming the market by 1% for the year... for the first time all year due to the quick turnaround in October. As you remember, that is when the shorts were deployed and we had a pretty sharp snap back rally that stunk up the portfolio's performance. Now I will eat the losses at around 10-13% in the red on that part of the portfolio. Ugh...
I will also update the stats of the portfolio when I make the changes.
Let's hope things are actually getting better this time... I am not sure if that is the case, however, so tread lightly if you are going long again.
Happy investing... and have a safe and happy holiday season!!
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