Sunday, June 10, 2012

Big Rally for Tomorrow ... or Not?

 With the a proposed bailout of Spanish banks, it appears a rally is likely this week.   As a result, my short positions will rally and create a loss in my portfolio.  That is what I expect.  After all, Asia is already up tonight on the Spanish bank deal and better than expect Chinese economic data.

So I am bracing myself for a strong rally on Thursday.  The only element in my favor is that my record of calling the next day's market performance has been about 50/50 :-)

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This is not financial pr investing advice. Please consult a professional advisor.

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Kurt @ Money Counselor said...

The latest "solution" to Europe's challenges will soon be recognized as yet another band-aid, and market declines will resume. Your shorts will pay off, in my opinion.

Super Saver said...


Great call. I was surprised by how much the market rejected the bailout as a solution. It appears that the market may be moving to the "all news is bad news phase."

Last week, I added a couple new short positions which hurt my results, but they sure helped today.

We'll see what tomorrow brings. No predictions from me :-)