So Far, So Good

Positions
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+100 GS @ 96.57 vs. cost @ 74.79, stop @ 86
+2000 UYG @ 2.40 vs. cost @ 2.00

Markets
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So far, so good. A sizeable equity market rally yesterday fizzled in the final minutes of trading and we are set to test this outcome again. U.S. equity markets have been positive for nearly the entire day and we are currently looking at greater than 1% gains across the board. Better than expected housing starts and building permits today may have sparked the rally, although absolute levels remain near historical lows. Frankly, any deceleration in deteriorating fundamentals is a positive sign to me.

I couldn't have been more incorrect to dump 1000 C @ 1.62 only 5 days ago (trading > 2.40). However, I did replace the position with 2000 UYG @ 2.00 (trading > 2.30). I wanted significant exposure to financials, and I wanted a longer term view. I just couldn't justify the risk and in this marketplace, I decided to err on the side of caution.

With 20 minutes to the closing bell, it looks like we have extended gains and hopefully wont see a repeat of yesterday's last minute sell-off. We've seen a large bounce from our lowest levels of this recession and I plan to hold onto a few positions and wait on the sidelines for more ideal entry points.

Sadly, I'm not reporting live from the Golden State
TM