iShares Russell 2000 ETF (IWM)

For those that celebrated the Jewish holiday I wanted to repost two columns from Monday. The first column is on the deteriorating breadth, updated for yesterday’s performance: Not Broadening * As previously noted (repeatedly by myself and The Divine Ms M), the market is narrowing — with the Russell not crowing and the equal weighted S&P …

* As previously noted (repeatedly by myself and The Divine Ms M), the market is narrowing — with the Russell not crowing and the equal weighted S&P Index (RSP) rolling over * Given the narrowing and the valuation model discussion in my upcoming opener, I am planning to expand my short book on the recent …

I am often wrong and always in doubt. Unlike so many “tallking heads” on CNBC and so many anonymous Tweeps we get it wrong a lot. (And unlike most of them, who spend most of their time polishing their images, I take ownership of my investment boners.) We Got This One Right But, as noted …

* I believe we have seen the high in most averages for the year. * Risks are underappreciated. * Downside market risk currently dwarfs upside reward — perhaps materially so… What follows is a combination of Diary posts and communications to my Limited Partners at Seabreeze: I remain net short (about 15%) in exposure. Given that …

I remain of the view that equities are overvalued — perhaps materially so. I also remain of the view that, given the market structure dynamic and continued optimism on the part of most market participants (“the buy on the dip mentality continues uninterrupted”) that a sharp and extended market decline is unlikely (but not improbable). …