Two days ago the Houston Rockets made 23 3 pointers tying an NBA record. In the 4th quarter with the game already out of reach for their opponent (complete blowout), Kevin Mchale (Houston Rockets coach) decided to sit his starters, however with an NBA record on the line the reserves decided to continue to shoot 3 pointers to try to break the record. In this business you have to grind out returns to give yourself enough of a cushion to then go for the kill. “The way to attain truly superior long-term returns is to grind it out until you’re up 30 or 40 percent, and then if you have the conviction, go for a 100 percent year. If you can put together a few near-100 percent years and avoid down years, then you can achieve really outstanding long-term returns”.–Stan Druckenmiller
The market continues to work itself higher, it seems like every dip is being bought, however it seems like that’s all it is. Stocks are moving up but they are not making big moves like I believe they should be, normally when you get to this stage of the rally you normally see some fireworks that lead to an over heated market that then leads to a correction, not the case right now.
Looking at the The View what stands out is the FXI, it’s down multiple consecutive days, it’s trading below its lower bollinger band and very near its 50 day moving average. From my view it is set up as a possible mean reversion play along with YINN.