Back to the Drawing Board

I got punished a little this week due to owning VXX calls. I slowly shed them through the week and only own some Apr VXX 36s. Already have a 65% loss on those. I re-upped on GLD when gold tanked under $1430 on Thursday. My target on gold was $1450. Probably shouldn't have waited for those last few dollars. The drop was 100% due to margin requirements and in no way was because of fundamentals. The price has bounced, like it always has, off those manipulated moves. I doubled up my position and will hold it into next week.

Poor VXX, I gave back all my monster gains off of it from the two prior weeks. Still up huge for the year, so on to the future and leave the past behind me.

Plan on just hanging out here. UUP showed a little strength due to pressure on the Euro. My target on this one is the upper $22's(anywhere over $22.70 and I will look to sell off).

Could not believe the long bond(TLT) spiked off the equity market spiking! I should have faded that move but am trying not to increase positions, since my cash position is around 30% right now. At one point today, the USD/TLT/SPY/GLD were all very positive. So basically equities were claiming margins/prices would increase, while inflation would increase, while the dollar strengthened, WHILE bond yield would be lower. That right there shows the lunacy of what the Fed and other CBs have created in today's market.

The Fed is desperately trying to convince one group that there will be deflation while convincing another that there will be inflation. For now, there strategy is working perfectly and you have to hand it to them for that. They walk such a very thin line, like so many CBs/central-planning governments before them. One small mistake could send them to the "history repeats itself" category.

All eyes on the Euro zone into next week, is my guess. The Euro tried to bounce on Friday, but quickly gave back the gains. I think the short Euro trade will be in full effect, next week.

I have a family emergency that may prevent me from posting next week. So if there are no new posts, I haven't abandoned writing, I just will most likely be out of town and not closely following the market.