Walter loses nearly $10 in only two days. Surely I am dreaming!
We were stopped out of the new Walter Energy position this morning for a loss after Walter lost nearly $10 in only two days of trading. That equates to a better than 13% loss on a $67 stock.
The volatility in the price of oil around the October futures expiration on Tuesday has been enormous. Add in the sharp rebound in the dollar and the larger than expected inventory increase on Wednesday and the deck was stacked against us.
With the markets declining I am going to wait until the weekend to propose new positions.
I have been on the road since last Thursday. My 90-year old mother passed out in her backyard in Texas a couple weeks ago and laid in the Texas sun undiscovered for two days. After three weeks in the hospital we drove to Texas on Thursday to pack her belongings and bring her back to Denver to live with us. The impact of the sun and dehydration on her already declining mental faculties was devastating. She no longer recognizes much of our family and finds herself in a new environment every day. We are back in Denver now but needless to say my mental state and my focus on the newsletter over the last week has been less than ideal. If you have elderly relatives please spend as much time as possible with them while they are coherent. Once the dementia arrives you will wish for moments of clarity.
We have no open positions