Finally we got somewhat of a bounce yesterday. Goldman Sachs was up $7.37, the biggest one day gain I have ever seen in that stock percentage wise or in absolute terms. Google is back over $450. Today the stock got an upgrade from UBS. Crude briefly traded below $60 where it should have been bought. The problem with this trade is that my exposure to the oil markets is already substantial and risk I believe should be measured by bet size.
I feel very comfortable with being short the Google puts, it is a somewhat optimal trade as we see volatility decrease and prices drift upwards. The more aggressive strategy used for GS is not bearing fruit just yet. Goldman should not be trading down with the housing market as the exposure is minimal. This is still an opportunity.
I don't think I ever have referenced chart patterns on this blog. However, looking at the price action for Silver it does look very bullish to me. Looking at LME inventory stats for Copper and Zinc I feel very confident with the positions in Boliden and Lundin Mining.
On the sideline I have been eyeing a Solar energy play, the stock was up over 7% yesterday and another 1% today in an otherwise rather weak market.
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