Trading Strategy

I'm waiting for bearish sentiment to manifest itself with a spike in the VIX to over 30. Then, I will cash in a few positions that have broken down since the last downturn. Then when sentiment swings back from fear to greed I'll have to jump back in.

DSL was the first to break down. After rebounding to almost $63, DSL broke down two weeks ago after its quarterly report revealed a spectacular rise in delinquencies. It closed today under $40.

CFC has also crumbled recently. After hanging around $20 for a few weeks, it closed today at $13.83.