Higgenbotham wrote: ↑Fri May 19, 2023 7:20 pmLottery Economy Update
I'm loaded short now. It seems reasonable at this point to say that the manipulators have created most of the pain that they will be able to. The bears keep promising "any day now" as they have for weeks while some bulls have recently appeared calling for new market highs. The pop over 4200 today should have cleaned out some stops and turned some participants bullish who were previously bearish, which would minimally be what the manipulators tried to achieve.
I took a draw April 11 to pay taxes (the market barely moved that day) and as of today am holding a little above the worst equity levels of April, even though the market is about 50 points higher, while adding to shorts. As of today's close, I have the largest short position of any close this year.
Higgenbotham wrote: ↑Fri Jun 02, 2023 10:33 amToday looks like a top on the S&P.Higgenbotham wrote: ↑Thu May 25, 2023 10:11 pmI'm not ready to proclaim the end of the stock market rally.
This week has been like any other week as I try to be prepared for a move over 4200, if it comes. Scalping individual stocks, covering some shorts and re-establishing on rallies. I've cut my short position 5.5% from Friday. That piece of it won't go back on unless there is a new high for the year.
Lottery Economy UpdateHiggenbotham wrote: ↑Fri Jun 02, 2023 9:01 pmThe changes I made today were to add 17% to my short position and to stop making any trades from the long side on individual stocks until the market settles on a direction. At the May 2008 high, the S&P pierced the upper Bollinger Band then reversed intraday. Today the S&P traded above the Bollinger Band most of the day but did not reverse. I've also been considering the possibility of an early July high and am ready for that. At today's close, my account is down on the year for the first time this year, down 0.4% on the year.
It's been awhile since the last Lottery Economy Update. Since the last update, I have not been able to cash in on the lottery economy, but haven't thrown my tickets away either. I've been buying more tickets by slowly shorting more and more S&P double inverse funds as the market rises. About 2/3 of my account is in the S&P double inverse funds, 1/3 in cash. That means my account is 133% short, which is probably too much. Loaded as referred to above was probably somewhere around 100%. It was noted in the last lottery economy update that my account was down 0.4% on the year. That loss has increased to down 3% on the year as of today.
This window is another area from which the S&P could top and it's also a crash setup. That doesn't mean I'll be taking that last 1/3 and putting all of the account into double inverse shorts, but if the market does start to crash next week I will take advantage of it to the best of my ability.