Taking a Defensive Stance...

Hey I know, the market has had its worst drop since 9/11. It is still hard to believe that the DJIA fell over 500 points just two days ago. I have been slowly taking a defensive position in my holdings and simply trimming down my larger positions. The sell off wasn't as bad as it could have been but the actual large percentage drop in the markets was hardly called for. Basically, it was grossly overdone. There are so many stocks that are at insanely low P/E levels that it is hard to believe that the market drop was caused by inflated stock prices. Oh well, there is no arguing with the market. All we can do is sit tight and see what happens in the next few days and weeks. The last thing you should do is pull your hair out and have a heart attack over this. This is just a phase and it is temporary. Once the overall trend of the market is re-established, there will be money to be made (and made back), whether we go long or short.