Covered all shorts for a little porfit.
Taking a small profit, basically covering commissions, does a couple things strategically.
1.) I won't be forced out of a position due to a margin call.
2.) I can short the same stock without worrying about the wash rule.
Something doesn't look quite bearish yet. This rally off mid-May lows looks like a 5 wave UP and wave 3 extended. What I thought was a wave 5 last week was wave 5 of 3. Yesterday looked motive (1 of 5 of 5?). Today looked like consolidation (2 of 5 of 5?).
The Dow was so close to breaking last weeks highs, but there is still room before that happens on the NAZ and SAP500. IF the Dow breaks last weeks highs, I would expect the NAZ and SAP500 to follow. If this is a wave 5 of 5 that the markets are in, then an ending diagonal would provide the best wave to develop that would match Mr Cash's cycles analysis.
I'm super bearish (SB) on the certain stocks in the real estate and finance sectors since those are the recent bubbles that no one thinks will pop. The internet bubble was a good learning experience to profit from whatever bubble followed.
