Monday, 3 March 2008

Filled! Long Banks

Just updated my portfolio to reflect sale of my SKF UltraShort Financials fund and going long UYG Ultra Financials a few minutes after the open this morning. (Got caught up in answering readers' comments, and I forgot to enter the trade right on the open.) The trade was based on my BKX Bank Index setup flipping back to long a week ago Friday. That setup is based on trading off the 3-month Eurodollars futures and options positioning, as reported weekly by the U.S. Commodity Futures Trading Commission. See my Latest Signals page for the full list of setups based on this fascinating government data.


Jo Bo said...

Hi Alex
I am in complete agreement with you on silver (I also shorted it in the last 2 weeks), but as a co-player in SKF and some puts on some carefully picked banks and brokerages, I am very interested to hear you are now bearish on US banks! I will stay tuned.
These are exciting times!

cheers, Joe

Alex Roslin said...

Hi Joe,

Thanks for your comment. Yes, they sure are exciting times. Btw, I was short last week, but this week my signal called for a bullish position and I'm long as of Monday.


proscllc said...

I don't understand why you would go long UYG when the DJI is still giving a bearish signal. Wouldn't that cancel out the long UYG idea?

Alex Roslin said...

Hi Proscllc,

My UYG Ultra Financials trade is based on the signal for the BKX Bank Index, which is derived from the 3-month Eurodollars. Thd DJIA signal is based on the DJIA data.