With the August correction being firmly in the rearview, and the market approaching its old highs again, we have been looking for value in efforts to eek out a few more gains before the year-end; (We have already cashed out of most of our big winner in UPRO (S&P 500 Long X3 ETF).
We have also been taking profits in banks JP Morgan (JPM), SSO (S&P 500 Long X2), Disney (DIS), and we lost another $100 in hedging costs to SPXU (S&P 500 X3 Short ETF). Now, however, might be a time to start considering shorts again, since the VIX is low (‘when the VIX is low, time to go’).
The only place I see value in, at this point, is biotech and energy. So, we have been adding to LABU (X3 Long Biotech ETF), even though it was up 20% yesterday for us, and Continental (CLR). In order to not have too much of the portfolio weighted in energy, we are selling Chevron (CVX) for an 8% gain (Subscribe For Real-Time Portfolio Alerts).
Updates to follow.