Be warned, you may need some Kleenex before you get through this. All month long I've been getting my ass kicked.
Gold and silver were down at the end of January as the bankers (JPM, HSBC) feverishly shorted futures in an attempt to drive metal prices down before Feb. delivery which ended yesterday.
So I did what I often do. I bought more silver. Cheaper.
When the DJIA struck 13,400 I toyed with the idea of shorting that index. Instead, I shorted the Russell 2000 around 875 and I promptly took a 10% haircut this month as the index made new highs. I am planning on shorting some more. You must always keep some powder dry.
If that weren't bad enough- things haven't been that rosy here in Boise either. People are calling this the worst winter in 20 years. This morning I woke up and there is another two or three inches of snow on the ground. This is something I am used to. What I am not used to is a bunch of burhka wearers and crackheads on cellphones trying to drive around in it- and a city with no snowplows.
So there's that and a few other issues. But I shall leave the subject there rather than force you to swallow the rest of your Prozac or Xanax- as the case may be.
This morning, I read an article on Zerohedge which I shall summarize thusly. The market can't go up forever. Only it took this author about 1000 or so words to say that. http://www.zerohedge.com/news/2013-01-29/action-over-reaction-about-commence This is precisely the kind of article I hate to see. Why? Because there will be even more morons shorting this market which means we will all have to "buy to cover" our short positions and drive this zombie up some more.
Buried within the comments of that article was a commenter who stated that you can't keep putting frosting on shit and calling it cake. I laughed out loud.
Yes you can. They have been doing it for 5 years.
Let them eat cake.