Biotech Values

[wallstarb]

I didn't get bearish until early/mid April - but then again what do I know. I think we are in a grind lower (reverse of Sept 2009 - March 2010, where we have corrections then retrace some of the correction - then some extrogenous event reminds investors how crappy everything is still and that while it's better then March 2009 it's still no picnic.

Maybe I will be wrong - but so far I got my 1040 target from 1200 area (12% +/-) I have covered all of our shorts in the markets and we made some bullish trades today (first time since Feb collapse) but we are sticking with a large number of major shorts concentrated in small cap tech - especially biotech as it tends to have a rough time in the summer.

I also remind you that I seldom will "gamble" our fund is mostly low risk/no risk arbitrage and special situations. We don't buy and pray, although I am sure for some that strategy works. We find names that are low downside with very high upside and pair off those with shorts in names that are hot air and ready to cool off.