Making money grow by finding bubbles and shorting them
Wednesday, August 7, 2013
DXJ in the aftermath of a BOT
Today I'm going to post about a misstake. I am long DXJ, (a Nikkei equity ETF) for fundamental reasons. Well the charts is clearly in the aftermath of a BOT and I ignored it thinking that it will build higher to an even higher BOT, and maybe it will but it might take a long time. That is until yesterday when the realization came that I must sell this position. Well overnight the Nikkei fell 4% and I didn't sell yet.
The lesson: never ignore the BOT pattern for fundamental reasons.