Moving quite a lot lately, physically, I mean. As for my investment portfolio, I had given my holdings a protective hedge while I knew I was going to be busy, thinking that the stock I am holding are new to me (yes, out with STO and in with BHP), and well, in the getting to know you stage. I have been watching BHP for the longest time, but doing trades with it is different, the volatility is different, the movement is different, so the strategy to use should be different. It also takes adjustment on my part because I have been a band trader for so long which works with volatility, however I found that BHP is not behaving the same way. Yes, it is a mining stock, the biggest miner in the world at that. And metals / commodities are “supposed” to slow down in demand as China growth slows down, but in the last month alone, this stock has jumped more than $5 while I was expecting around $2. It is profit that is getting away. But my consolation is that I made decent profit and learned a ton more about this stock, that while the “demand” is slow on their product, the asset class, “stocks” attracted money from the June bottom of the last selloff. But, lo and behold, the “tapering” talk is back and so the slide once again is happening. Yep, that’s volatility for you, but in a longer timeframe.
So, I want to watch out for more signs, and where else to look but the moves of the titans.
Billionaire investors / traders George Soros and Paulson who are into gold are either cutting aggressively or getting out of gold. That means the money is attracted somewhere else (out of gold). Stocks are not it either.
Get more hints at these article and videos.
Billionaires Paulson, Soros cuts gold stake
http://www.bloomberg.com/news/2013-08-14/paulson-cuts-spdr-gold-stake-53-as-soros-sells-out.html
Bill Gross : Bond War
http://www.bloomberg.com/video/gross-80-likely-fed-tapers-next-month-H5A9gYJvTJm9BUKVGKrBcg.html
