Smalltime Model Portfolio Carnage

A broader market pullback and subsequent sideways trade has wreaked havoc on smallcap stocks. The Smalltime Model Portfolio has been especially hard hit. Ill advised out of the money calls purchased on Alcoa are set to expire out of the money and totally worthless which adds to the misery. I have seen this before and here it is again, the stocks I bought are going down but yet that does not mean I am wrong about the companies I have chosen. The stock market is full of different players with different reasons for owning, buying, and selling stocks. In the short term stocks can fluctuate wildly. What matters is earnings growth; when earnings grow, the stock price follows. I still believe in the underlying stories of the 5 companies in the Smalltime Model Portfolio, so there is no reason to panic sell.