Comments on: Shorting the Nasdaq and Russell 2000 http://sovereignspeculator.com/2009/12/22/shorting-the-nasdaq-and-russell-2000/ Thoughts on the markets and the decline of the west Mon, 20 Dec 2010 19:18:54 +0000 http://wordpress.org/?v=2.6 By: Mike http://sovereignspeculator.com/2009/12/22/shorting-the-nasdaq-and-russell-2000/#comment-7866 Mike Thu, 24 Dec 2009 13:45:10 +0000 http://sovereignspeculator.com/?p=3122#comment-7866 Well, this week marks the 20th anniversary of the Nikkei top: 39,000. I'm showing NKD futures at 10,570 right now. There have been a lot of bear market rallies on the way. Well, this week marks the 20th anniversary of the Nikkei top: 39,000. I’m showing NKD futures at 10,570 right now. There have been a lot of bear market rallies on the way.

]]> By: AudioTactics http://sovereignspeculator.com/2009/12/22/shorting-the-nasdaq-and-russell-2000/#comment-7861 AudioTactics Thu, 24 Dec 2009 03:19:48 +0000 http://sovereignspeculator.com/?p=3122#comment-7861 Here's the thing... The elements of last year's collapse are unlikely to re-occur and even if they did, the market would not react similarly. Markets have memory... a sort of been there, done that and the second time usually elicits a weaker response. Yes the market can fall from here but anybody expecting new lows will be sadly disappointed. But then again, everybody appears to be long risky assets (mostly corporate bonds it seems) so my devil's advocate is telling me to be short anyway... Here’s the thing…

The elements of last year’s collapse are unlikely to re-occur and even if they did, the market would not react similarly. Markets have memory… a sort of been there, done that and the second time usually elicits a weaker response.

Yes the market can fall from here but anybody expecting new lows will be sadly disappointed. But then again, everybody appears to be long risky assets (mostly corporate bonds it seems) so my devil’s advocate is telling me to be short anyway…

]]> By: gimmeshelter http://sovereignspeculator.com/2009/12/22/shorting-the-nasdaq-and-russell-2000/#comment-7842 gimmeshelter Tue, 22 Dec 2009 23:42:55 +0000 http://sovereignspeculator.com/?p=3122#comment-7842 Nice to see you posting again. Your insights sum it up well. I have been slowly collecting LEAP Puts on the IWM QQQQ SPY since July. It has hurt but I still belive it is the right play. They get cheaper everyday but once volitility returns they will come back in many cases 2-3x with a VIX move over 30 even if the underlying is only down 5-10%. There are also a host of 2011 Leaps now. Nice to see you posting again. Your insights sum it up well.

I have been slowly collecting LEAP Puts on the IWM QQQQ SPY since July. It has hurt but I still belive it is the right play. They get cheaper everyday but once volitility returns they will come back in many cases 2-3x with a VIX move over 30 even if the underlying is only down 5-10%. There are also a host of 2011 Leaps now.

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