There is No Dana Only Zuul

Somewhere around 7 years old, I had a recurring nightmare and daymare that a Zuul-possessed Dana Barrett (Sigourney Weaver) in her red dress collarboney best was hiding under my bed waiting to bite into my heel like an apple while I was getting into bed. I can still hear the pop of apple flesh.

This led to large leaps at bedtime and daybreak. I did this for years.

It didn’t matter that I had looked under my bed hundreds of times, and had drawers of toys under there that would make it physically impossible for a grown woman poltergeist to inhabit.

Market bubbles are my Sigourney. I leap around them because I’m afraid of becoming the feety fruitsnack of phantoms.

I saw the false breakdown in semiconductors a few months back in March, I even called it out to my friend - but did I buy? No. Why? I was afraid. I still am.

I tell myself that the market is vast and that it’s better to trade around the bubble everyone is focusing on. But I know deep down that’s not entirely right. I want to get to a place where I can go long the most non-sensical bubbles - even late stage ones - overcoming fear through position size and risk management.

I want to become the Keymaster (Rick Moranis) - lover of Zuul.

Sure at some point the stay puft marshmallow market might explode and I’ll get a little singed and fall out of a large demon dog-bear statue. But Bill Murray will be there.

Maybe the current deleveraging we are seeing is the beginning of a regime change in markets towards a stagflationary or recessionary regime - and I’m not saying I’d buy semiconductors or AI plays here.

But it’s time to let go of ghosts.

-Andy

ICYMI - here’s our current market positioning and performance: