Position Updates: WM

As you know, “The Fly” is short [[WM]], from as high as $18.50. I read over the terms of today’s 7 billion dollar financing and it’s ridiculous.

First of all, they are pricing a gigunta amount of shares significantly below the market @ $8.74. Selling WM here is equal to taking on the arduous task of shooting fish in a barrel.

Once again, all of the private equity rumors were inflated. TPG anchored the deal, but only took down 2 billion worth of Wamu crap.

Additionally, Wamu will be forced to change the way the bank raises money. They will be forced to shut down all wholesale mortgage operations, and refocus on retail, in an attempt to stop the bleeding.

In other words, Wamu will never be the same again.

With all of the dilution in the stock, I like my chances of covering my short position, under $10.

iBC Call to Arms UPDATE: A staunch internet ally of mine, Howard, is up for some sort of mundane internet award, for one of his Wallstrip shows. Frankly, I do not care for much, with the marked exception of 2 1/2 inch rib eyes. However, I care a great deal about “mundane internet awards.” It’s one of “The Fly’s” weaknesses.

In short, go vote here tomorrow. Do it for Howard. Do it for your country. More importantly, do it for “The Fly.”

NOTE: Failure to vote for this important matter may result in the removal of your mustache, the next time you are drinking a glass of Merlot.

It’s hard for me to explain today’s market action, since reason is absent from the pastiche. Maybe everyone is just reading charts and shit, saying: “yeah, look at that line Bob. Do you see that line and dot? Ooh, that looks sweet. I’m gonna buy right now.” Bob replies: “But Hank, what about Wamu’s ridiculous numbers or Alcoa’s swing and a miss”?

Finally, Hank adds: “fuck the numbers Bob. Look at those lines. Buy the lines, not the economy, goatfucker.”

In my head, that’s how two jackasses on the NYSE make financial decisions.

Enough of what I think. What is happening, whether you like it or not, bulls are throwing pies at the bears’ faces, then making a quick getaway on their tricycles.

During today’s session, there are all sorts of asshole dip buyers, out and about, going long everything, particularly “ag plays.” After all, there are plenty of hungry mouths to feed in China.

Finally, the IMF’s decision to sell gold should be ignored. They have no fucking idea where gold is heading. They’re just a bunch of bureaucrats. On today’s dip, I like [[DGP]].

UPDATE: Remix!

“The Fly” wins Final Four Contest, via popular vote (98% vs. 2%)

And, tomorrow, the Godly folks from iBC will celebrate their 2 millionth page view, since inception—AKA “Double Platinum Party.”

Invites pending. Bring your fucking guns.

UPDATE: Behold the iBC double platinum party video.

UPDATE II: Another iBC celebration video.

[youtube:http://www.youtube.com/watch?v=EYbUCvz1LYE 450 300]

Look you little rustics, I don’t have the time nor the inclination to readily update you of my market mastery.

As you can see, [[AA]] shit the shower, thanks to their extreme ineptitude.

While it’s true, “The Fly” has given back an atrocious amount of coin, in recent days. It is also true, he has more than enough to go around and will be making a sharp comeback, sometime soon.

My guess, the AA news will spearhead the basic materials sector lower, thanks to “high energy costs.”

If not, then I’ll have to resort to extreme measures, such as small sacrifices or voodoo magic.

At the end of the day, the market is ripping higher on news that we are in the worst financial crisis since the Great Depression. Sometime soon, sanity will kick in and send these bulls sea-worthy.

Even though my [[WM]] short is being ransacked today, I still win the iBC Final Four contest—thanks to the curious absence of “Matt.”

Odd, no?

I’ll have you know, the stock God’s smile upon “The Fly.” In order to allow “The Fly” win this important contest, they probably put “Matt” in his local prison or something equally egregious.

Hence the term, “The Fly” wins all the time, even when he appears to be losing badly.

Festivities pending.

[youtube:http://www.youtube.com/watch?v=lHRv44MJ6iw 450 300]

Feel free to go ahead, get drunk, smoke some crack, while shorting egregiously expensive stocks.

From my vantage point, the market is now 15% overvalued, thanks to the inordinate amount of dumb money sloshing around.

The following trades will be executed, immediately:

Long [[DGP]], [[SMN]], [[SRS]], [[SKF]] and [[SSG]].

In addition, short [[TSCM]], short [[WM]], short [[LEH]] and short [[MON]].

The kitchen sink approach, if you will.

Developing…

It’s too late to jump into the rally, you damn rubes. Look, if you’re like me, all stupid and shit, short stocks in a squeeze, chalk one up for the bulls. Don’t go chasing stocks up here, like it’s 1998 again.

What are you mentally ill?

Sometimes it’s important to accept the fact that you were wrong. You missed the rally. Don’t compound the first mistake by covering and going long.

Retards do that.

When the pain is unbearable, the market makes fast directional shifts—effectively deballing those who switched sides. Meaning: you will cover now, buy some [[FSLR]], [[BIDU]] and [[AA]], then the market will collpase, due to “profit taking”— taking your stupid money with it.

So, to sum things up:

If you caught this rally: good for you. Now go die.

I’ll just sit here, patiently, waiting for the planet to explode.

…any minute now.

Do you hear that?

Do you smell it?

It’s coming fucker.

What am I alluding to?

THE REVERSAL.

Stay tuned.