Hong Kong Tracker ETF Purchased

I jumped on the recovery bandwagon this morning and added to my position in the Hong Kong Tracker Fund (an ETF which tracks the Hang Seng Index).

My decision was partly motivated by a belief (not that strongly held) that the sell down in the market from last year's highs has reduced the market to the point where valuations are reasonable (but not cheap) and it makes sense to add to my positions. I also had an expectation that there would be a short term bounce in response to Wall Street's failure to follow the Asian markets sharply lower on Tuesday. In effect, I felt that the investment made sense from both a day trading perspective and a longer term investing perspective.

Given the meteoric rise of the Hang Seng Index today (up 10.7%), I now have the option of selling tomorrow (assuming the market does not open lower) and taking a reasonable profit (slightly more than the holding loss on the Commodity ETF purchased last week) or sitting on the position for longer. I'll sleep on that one.