Steven, When the money rotates out of the “hot stocks” and goes to the better ones, will it affect the RUT? I am asking about RUT in particular because the stocks that went parabolic were mostly in the small caps. Can please comment on the fate of RUT when these exponential moves get deflated.
I am in RUT income trade with you and as you know RUT can swing a lot (up or low) with in a very short period. Does, it make sense to hedge the position?
Also, the commodity stocks that you shorted thus far, you said to take profits aggressively. Does it mean to have a profit target of certain percentage?
Thanks