It's a curse to live in interesting (volatile) times! Volatility, however, can be a good thing.

Dear Reader,

S&P today put the USA on negative watch (!) Wow! This is basically history unfloding before our eyes. The Great recession (2008), Middle East, Japan(earthquake and nuclear crises), The EU sovereign crises, now this.
The global pond is swarming with black swans. Unbelievable!

Results from last week: Long USO (-2.8%), Long SLV (+5.1%), Long JJA (-4.1%), Short XLF (+1.9%).

If each position comprised 25% of the portfolio the result would would have been:

0.25*(-0.028) + 0.25*(+0.051) + 0.25*(-0.041)+ 0.25*(+0.019)= +0.01%. At least I would not have hypothetically lost money.
Anyway, my personal view on the market for next week is: Buy USO, Buy SLV, Sell XLK (SPDR technology), Sell XLF. Starting point today NYSE's close, end point Friday 22.04.2011 NYSE close.



Disclaimer: Please be advised, this is NOT a reccomendation to buy the mentioned securities, commodities or their derivatives. This is just my personal, hypothetical view on the markets. I do not own any of the mentioned commodities (apart from regular day to day use) or their derivatives traded on exchanges, and options on indices or ETFs, Stocks traded on exchanges and I do not plan to own them in the next 72 hours!