Monday, August 25, 2008

Adding to My DIG Position

I am going to use the weakness today in energy, which you can flip a coin quite frankly as to its cause or reason, better yet lets leave the reasons for it to the intellectual pretty faces on pompom TV to figure that out, to get longer the Ultra oil and gas ticker DIG. I got long last week as the XLE moved above the $74 level. Today we are correcting the break out on significantly lighter volume. I will use this weakness to get longer a 2nd unit here on the DIG at $84.80

Some may notice XTO acting the same, correcting its very impulsive move up last week back to the break out level. I will leave it alone and focus and DIG for now.

Housekeeping notes;

I am adjusting my stop on DIG, which is a derivative security, to reflect the underlying issue the XLE. The new stop on this position will be XLE $ 71.93. Which means that DIG will be sold if as and when XLE violates $71.93 on the downside.

Good speculating to you all and never ever forget that "an investor is a speculator who made a mistake and will not admit it".

Open Positions:
Long 2 units of Powershare Agriculture ticker DBA @ $35.35 stop $34.79
Long 2 units of XTO Energy ticker XTO @ $45.40 stop at $44.48
Long 1 unit Currencyshare SwissFranc ticker FXF @ $92.70 stop at $90.68
Long 2 units Ultra Oil & Gas Proshares ticker DIG @ $84.65 stop at XLE $71.93
Long 1 unit U.S. Oil Fund ticker USO @ $96.95 stop at $91.38
Long 2 units Ultrashort S&P500 ticker SDS @ $64.65 stop at SPY $130.58
Short 1 unit Int'l Bus Machines ticker IBM @ $129.05 stop at $128.56
Short 3 units FedEx ticker FDX @ $87.10 stop at $88.16
Short 2 units of Apple ticker AAPL @ $178.05 stop at $182.76
Short 1 unit Blackrock ticker BLK @ $218.50 stop at $218.126

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