Thursday, January 11, 2007

rally mode

Core holdings portfolio is very strong today! Google, Goldman Sachs, Mastercard, Level III are all moving solidly higher. Lowe's and USG are participating too.

Two moves of note:

1. sidelined RIO because of overall commodity weakness. I want to wait until they hit bottom before moving in there.

2. Closed out all AAPL positions. I would like to re-enter before earnings one last time, then revisit in March on weakness.

Two areas that I'm thinking about going forward:

1. LOW and USG are both levered to housing. One is a retail play and one is a raw materials play. I may try to exit one of these in the coming days, for diversification.

2. Cheap oil. There should be some interesting ways to play plummeting oil right now. Maybe back into KMB for a while?

3. ATI looks nice right now. It's a commodity play in a solidly booming industry (airlines), and it is off its highs. I may move in here.

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