Hold or Fold

My last 16 buys did not go through well. As a general rule I place hard stop on most of my positions but still it hurts. If assuming you dont do that then I think 10% is the maximum pain that one should be willing to take on a 5% position size. With monstrous volatility, I will recede back to the sidelines. Now is not a time to declare bottom even if their is one. Though you can develop a watchlist.

The Buy List

16 Buys, 5% each.

Blue Chips = 20%
KFT @ 29.24
NKE @ 58.96
SNY @ 31.37
BMY @ 18.43

Commodities = 20%
POT @ 80.35
MON @ 88.37
RIO @ 13.45
NUE @ 35.94

Energy = 20%
NOV @ 30.39
OXY @ 50.92
CHK @ 22.70
KOL @ 20.21

Alt. Energy = 20%
PBW @ 11.09
TAN @ 12.61
FAN @ 14.39
SPWRA @ 51.79

Cash = 20%

VIXed

My last 20 buys were VIXed, or taken out by 5% stop limit orders. Not a very enjoyable sight. However, I think we are 'near' the bottom, with the risk of another 10% to 20% downside. Next week would be to start getting long again. I hope to put a list of 20 to 25 stocks here.

20 Positions, if you want to buy today

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QLD, SSO, XLE, XLB, FXI, IFN,

EXM, POT, NOK, CCC, ENS, TRN,

ASTI, SPWRA, STP, ENER, LDK, SOLF, SOLR, PBW

All with hard stop limit at 5% below Friday's close OR 5% below today's purchase price, whichever is nearner. QLD, SSO, POT and FXI are overweighted positions. PBW, ASTI, SOLR, ENS and SOLF are underweighted positions.

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