First, unlike what gurus and pitchmen like to portray about themselves, the usual disclaimer before I write a post touting a call. I have been more Keystone Kop than good trader lately. This included getting long industrial metals miners at the wrong moment and holding onto Biotech positions well into the drop (although in fairness, I was pretty sure either Bios or Financials, which I’d also held, would get croaked pending a clearing of the long-term interest rate view).
After a previous successful trade and then noting QCOM still on my watch list in NFTRH 471, I watched it alright. I watched it get destroyed on Tuesday and bought the big drop even though said drop was screwing up the bullish pattern. But the thing is, the drop happened on a mainstream financial media report about Apple’s retaliation against Qualcomm (threatening to go with Intel’s chips instead of Qualcomm’s) in their never ending legal battles. It felt forced and I said screw it and bought the puke.
Today there is talk of Broadcom buyout interest in Qualcomm, and zoom…
I also used a big 2 day drop in old friend MZOR (which we also track in NFTRH, and which I’d feared was running away from me) to buy it back and so far that is working out too. It’s funny, these are lessons in maintaining a stable mental state because even as I was doing my Keystone Kop routine I was telling myself ‘self, the worm always turns… eventually ‘.
As a side note, again with respect to the interest rate situation, we’d ID’d Tech as a relatively rates-neutral target, which is why QCOM and others have been followed.
Oh and I almost forgot; MDT and BSX got clobbered because of a goofy MSM report about stents not working as commonly believed. I read up on the study making the claim and well, did nothing. I’d already held MDT but was not going to sell on yet another media hype fest. BSX being a former customer of mine, I sensed bullshit in this media report.
Anyway, it’s been an interesting and mentally challenging week.
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