My personal portfolio:
Comment of the Day

February 01 2011

Commentary by David Fuller

My personal portfolio:

NDX short breakeven stop triggered; gold, platinum, silver and palladium longs opened; NDX short reopened; wheat and rough rice sold

David Fuller's view For the third consecutive time I have been stopped out of a Nasdaq 100 Index (weekly & daily) hedge short in this region, at just better than breakeven levels. This morning, my March NDX short was repurchased at 2292.88 against my sale at 2296.4 on 24th January. These prices include all spread-bet dealing costs. I may re-short if this edges a little higher because a corrective pause appears to be underway in response to the recent short-term overbought condition. Over the longer term, I remain a NDX bull as technology is a Fullermoney secular theme.

Yesterday, I mentioned in Comment of the Day and the Audio that I was likely to reopen some long trades in precious metals. In their sequence of purchase, I bought gold (weekly & daily), platinum (weekly & daily), silver (weekly & daily) and palladium (weekly & daily) today. I paid $1338 for March gold, $1805.2 for April platinum, $28.268 for March Silver and $823.78 for March palladium. I bought all four because I could not settle on one as the obvious candidate but could envisage further potential across the sector. However I do feel that gold and platinum are the conservative choices, while palladium and silver have been the sector leaders more often than not. The prices above include spread-bet dealing costs.

Stop Press: This afternoon I reopened a hedge short in March NDX, selling at 2303.9, including dealing costs. If I lose money on my two short-term stock market hedges, which I easily could since this still looks a cyclical bull market to me, I will regard the cost as a temporary insurance premium during a near-term overbought condition plus a period of some turbulence due to a headwind from commodity prices.

This evening, on seeing and answering Email 1 above, I sold my wheat (weekly & daily) and rough rice (weekly & daily) longs. March wheat was sold at $8.36 against my purchase at $8.339 on 28th January. March rough rice was sold at $15.7025, against my purchase at $14.9075, also on the 28th. These prices include spread-bet dealing costs.

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