My Gold position; killing it. My short side NFLX trades; killing it. I’m unstoppable. This is merely a game, one I enjoy greatly. I have constant thoughts of markets, stocks and all manner of money making endeavors. However, this isn’t about money for me. This is about proving myself right every single day. Any rewards are welcomed, but not yearned.

Moving forward, this market is caught between long term bearish trends and short term bullish trends. While the market may throw curve balls, I understand one thing very clearly; no matter what happens you can bank on governments getting involved. If you have ever read a book on economic history, you will understand this to be a certainty.

Government intervention may come in the form of stock purchases, as in China. Intervention may come in the form of currency manipulation, as in Japan, Sweden and BRIC’s. Intervention will come and betting on some type of intervention is the correct course of action in my opinion. It is correct because, politicians have no patience. They are unable to sit around waiting for things to develop. They need some type of action to maintain the perception of control.

While action is necessary, I believe politicians are about to experience the reality of too much spending and too much debt. Chances are this will not hit the US this year, or even next, but this will hit. Before this time, we can all party and buy stocks. Stay nimble as always and good luck!

I’m actively long this market, but hold many reserves. I’m watching the exit, waiting to make my escape at any moment.

Allow me to remind you, this game is not about what people tell you. It’s about seeing what’s clearly in front of you. It’s about ignoring the noise and moving with the market. It’s about making decisions without hesitation. Now tell me, where is NFLX headed?(Chart here)

You think this stock is heading back to all time highs? Sadly, that is not how things work. You may be lucky enough to pickup some quick gains, but these gains are only temporary. They will serve as your only comfort when you have massive loses in your next bottom picking endeavor. I’m watching closely and waiting patiently for NFLX to break.

Believe me when I tell you this, I’m not brash. I have plans and they do not include losing money. I will never jump on a sinking ship, nor fight the market waves. These are things you can count on.

The SPX needs to maintain 1,284 or things will turn ugly quick. I will continue to buy strength, until I see weakness.

I’m simply delighted with my positions. They not only make me money, but also spit in the faces of all those holding paper money. Face it, we all know US dollars are worthless. I will plaster my wall with worthless US dollar bills within 10 years. This is an an inevitability. Mind you, I do hold US dollars as defensive diversification. However, I expect these dollars to serve only as memories of a forgotten time.

My victories will continue with the following strategy; Buying new highs, selling new lows. That’s my game. I’m not trying to buy low and sell high. That shit is for losers, who will enter bankruptcy within months. Buying low implies going against the market. It means you are buying a loser and any small margin of success you achieve will be of absolute luck and nothing more. Buying high implies running with the market. This is the secret to success: Buy high, sell higher. Anyone who tells you the contrary is dull and has certainly lost much wealth in the markets.

That said, the SPX is about to break 1,292. The first time to break the high of October. This is very bullish, providing the market can sustain this level. Any signs of exhaustion have not yet to be seen and I expect Wednesday to continue this trend(Jeez, trends still exist?). Things I currently expect upside include; PM’s and Equities. Keep in mind, equities are valued in worthless paper. While PM’s, are valued by whatever some nut job will pay you.

This is a healthy reminder that my thoughts mean absolutely nothing. Mr. Market doesn’t care if I think the world will burst into flames tomorrow. Mr. Market doesn’t care if I believe a given stock will go bankrupt. Mr. Market doesn’t care about your thoughts either and neither do I. Guess what I’m trying to say is this; Mr.Market will do whatever he wants.

I’m trying to remind myself of the above facts. While trying for the death of me to let go of my expectations, my ego and my confused perception of the market. I’m trying to jump into this market, but I feel like a 500 pound hummingbird. I can’t fucking move. I see stocks breaking out and moving higher, but something is wrong. Can’t explain this. Do I jump on this bandwagon with bearish sentiment at all time lows?Was 2011 just a bad fucking dream?The TLT at these levels, yet the stock market rips higher? Seriously?I have to ask myself, if bonds are smart money, who do I bet with?

Meanwhile, gold has put in a bottom. This shit is serious. Park all my money in gold Peter fucking Schiff style? Sounds like my best plan currently. Gold stocks, along with gold seem to have all put in bottoms. These idiots talking about a gold top, are they serious? The gold story hasn’t changed and politicians are as eager as ever to print money. Watching the GLD, if it were to move below $154 I would assume this is a fake bottom. Otherwise, I’ll be buying till I carry gold bars into the grocery store.

I’m bored. What ever happened to the casino I used to call the SPX? Technically the SPX looks quite strong; higher lows and higher highs. This is pretty textbook shit. The SPX put in a 1-2-3 bottom as Joe Ross would call it. If you were trading his system you would be a buyer on a move above Tuesdays high. Here’s the chart.

I trade a variation of Larry Williams and some crazy sea monster shit. However, Joe Ross has a similar trading strategy as my trading hero Larry Williams(He’s the fucking champ) so I tend to trade signals from either. I was a buyer on a move above the early December highs, only to be shaken out rather quickly. This has been the case in the last year and I began to successfully fade breakouts rather then buy them. I will be a buyer above Tuesday’s high, but I’m inclined to start my buying tomorrow. Let the strong technicals set in over the weekend before a gap higher on Monday.

While both strategies have been showing head fakes all over the place in 2011, it does looks as if the charts are behaving(for now at least). I’m still holding my LULU long from early Wednesday and suspect it will hit $53 in a matter of seconds. I have been looking at some RIMM and SNE longs, but I need to see some more strength. I have also been watching INTC, MSFT among other blue chip names. I have been watching GMCR for a possible short, but will have to wait for some market weakness to take that trade.

***BTW, if BKS is serious about a spinoff of Nook; I would buy that company. Peter fucking Lynch style.***

UPDATE: Sold my LULU long. Don’t ask me why.

I’m seeing setups all over the place. Everywhere. LULU just broke above resistance, and I expect them to take off to the moon with lighting speed. I purchased some LULU on the break of the December 27th high.

This morning I covered CMG, as this gap shit is just plain stupid. I traded my CMG short for my AZO, while watching for setups in many names. I’m watching many names setups on the long side and do not wish to fight the market. I have liquidated my shorts in AZO and CMG, while positioning myself long. This will be small at first, but will grow increasingly large.

I’m not going to sit here and bullshit you fine gentlemen. I haven’t a clue where the market is headed. I see strength in financial stocks, whom usually look like shit. While, I see weakness in stocks that generally show strength. WTF does this mean? Dumb money pushing the limits due to weak volume? War in Iran a good thing? Seriously, if you have the faintest clue let me know.

I avoided disaster today, but feel like shit nonetheless. I would like to jump on the bandwagon long except, I can’t shake the fact that this bandwagon is heading for a cliff. I took the liberty of exiting the market for a short break today. After much thought, I decided it was better to take a break to gain a better perspective. Today was quite draining, because I had to go against my convictions.

Moving onto the market, I’m seeing weird shit. I see stupid articles like this(here). Is that a serious article? While I see stocks like MCD, looking like death. Like I said, I have no idea where the market is heading, but individual names are all over the place.

Stocks that look like shit include; MCD, KO, AZO, CMG, VZ, IBM and many other blues. While stocks that look like winners include, anything that has looked like shit in the passed several months. Today was a fucking change up. The market benched all the star players, and ran with the third line. Yet, the market still managed to pull higher. Probably why I’m so fucking baffled. I suspect these garbage names should be faded, and the real tell is the weakness in the blue chips. I have positioned myself short. I’m currently short CMG with a small short on AZO.

Chances are that this market continues to stupefy me, while I continue to make money. I’m amazed I ended the day positive, after such horrible beginnings.

This should be exciting.

I started off today in the garbage, yet I was able to turn everything around in the blink of an eye. My AMZN short went less then spectacular, yet I was able to makeup my losses and more with my RIMM long. Crazy. RIMM could hit $16 before retracing, yet I had to cover as the movement was looking a bit parabolic. I traded my RIMM long, for a MCD short as this stock looks like shit today. Amazingly, as MCD has done nothing but go straight up for months YEARS. As previous mentioned, I got in on the break of the December 29th low.

I will also be watching for a retrace to get into some longs. Truth be known, that I have my doubts about this rally, but I will participate regardless. I won’t let my bullshit ego get in the way of making money. That is the last thing I ever want to happen. I want to trade the market in front of me, not the market I wish were in front of me.

My 2012 pick of the year was a APPL short. This was a strategic play, nothing more. I will explain. If I were to pick some bullshit stock and win, I would look okay, but not a genius.

However, if I pick an AAPL short as I have and win, or even come close to winning, I will look like a fucking champion. I will look like a god, who knows all in the past and future. I will gain followers and be regarded as an oracle of sorts. This was my plan with picking my AAPL short. This was something I picked up reading Peter Lynch. I’m not sure if exposing my scheme will ruin the results, but I could care less.

I’m watching everything, some longs and some shorts.

UPDATE:Looking to enter an AMZN short once again. Keep in mind, I’m still watching for longs, but see some weakness materializing.

UPDATE: I shorted RY. The failure to continue higher after the gap is telling me this thing hit a brick wall. This is an exhaustion gap IMO. I’m also watching MCD, may consider covering. This has been a crazy day.

UPDATE: Covered, MCD. I will be trading my MCD short, for RY shorts. I made a small gain in MCD, but nothing significant. I have a mediocre short position in RY currently, but will be looking to increase my position on weakness.

UPDATE: I’m not getting the weakness I was looking for in RY. I have not added to this position and actually have covered it in an effort to gain a better perspective.

Bought RIMM, because everyone is going fucking crazy buying. Figured I didn’t want to be left behind. Buy the rumor, sell the news? Might be. However, I’m seeing a lot of stocks setting up for a nice run and I want to be apart of it.

I would like to see a run to $16 in RIMM, but everything is completely crazy so that may be wishful thinking. I’m in negative territory today, as AMZN gaped higher and I was forced to cover at open. I’m nibble; extremely nibble. If I’m on the wrong side of the market, I’ll change up without hesitation(as I have done today).

I’m also keeping a close eye on LULU, MS and AMZN for long positions.

UPDATE: I’m also watching AZO for a short. It’s showing significant weakness today.

UPDATE: Amazingly, MCD looks like shit today. I have opened a short position on the break of the December 29th low. I also sold my RIMM short, I entered that trade on the break on $15, so I have recouped my loses for today and I could ask for nothing more.