iBankCoin
18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.
Joined Nov 10, 2007
23,452 Blog Posts

Blood Out

This is the way Wall Street works: get caught leaning and bleed out like a fucking pig in a slaughter house. I’ve said it before and I will say it again: this market is a fucking meat grinder. Fuck the news: it’s always bad. However, today’s action points to a 3-4% decline, something I am unwilling to ignore, being 90% long.

So, over the last half hour or so I sold out of the following names, some for profit, others for loss:

GS, CLF, SHLD, CRNT
and half CIEN.

Understand something, I did not want to sell them, but had no choice.

With some of the proceeds, I bought coconut sized aka “gorilla ass” positions in both VXX and FAZ.

Do I think we are heading back into the deflationary vortex of certain death and calamity?

Answer: Absolutely.

Nevertheless, I did not go “full retard with titled head” short. Instead, like a gentleman, I simply hedged, while thinking about puffing on some cigars. Current allocation stands at around 20% VXX, 20% cash and 60% long. This blend has worked wonders for me in the past and will do so, yet again. Should the market climb, my gains will the “midgetized.” However, who gives a shit? This mornings losses, out the gate, were about 2%, give or take. I did not want that 2% to morph into 4%, with a possibility of getting “clown raped” on Monday for another 2%. That’s how bad habits start.

So, instead, I acknowledged the fact that I was wrong and moved on.

What about The PPT?

Well, I sort of ignored it. The fucker printed 3.10 earlier this week and closed above 3 on 7/8 and 7/13. I was waiting for a close above 3.10 to give me the green light to sell out. Perhaps I was being a little too picky. After all, the 3.00 line has worked numerous times in the past. There is a strong possibility it will prove on point, yet again.

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80 comments

  1. buylo

    Do you think this is still a good time to go all in?

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    • Pete

      “The Fly” will win in the end. He always wins. Even when it looks like hes losing. Do not to question “The Fly”

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      • Slopey-Dope

        Well, here are some great Fly quotes from yesterday…

        ‘I bought truckloads of GLW, EWZ and X and nibbled on some MLNX, reducing my cash position to around 10%. This is as far as I will go.
        In other words, I am “all in” fuckface.
        Let the games begin, despite the obvious fact that this is not a game anymore’.

        He was then bold enough to threaten….

        The Fly says:
        July 15, 2010 at 3:44 pm
        ‘You are betting against the wrong man. I will seize your house, fuckface’.

        So, as one hour erases this whole week’s gains, I bow to Fly’s inimitable (fuckfaced) market timing.

        I do hope you used some nice tight stops Mr Fly, as this little dip is just the start, maybe we’ll have a little flash-crash today. But in the spirit of tranatlantic brotherhood, if you lose everything, you can lodge in my garden shed for a few months.

        Not much of a game for sure.

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        • The Fly

          2% does not wipe out a weeks gains. Man up and quit putting everything under a microscope. Mistakes happen and it is how one adjusts to his errors that makes him great.

          That’s all I have to say.

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          • Alvari40

            It’s not a mistake, it’s fucking trading. Ban all douchbags that show a complete lack of understanding for this profession. This isn’t trading 101 here.

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          • Kreizi

            Fly, I thought when you said about upside potential it’s what the time machine predicted. if not because of the PPT readings, then why did you decide to go long yesterday?

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          • Slopey-Dope

            I’m just kidding with you, cos you called me fuckface and threatended to take my house!

            You’re always worth reading, and I am learning from you too.

            heck, I even considered this TTP thing the other day, but as I’m in the Uk, I wasn’t sure I’d get full benefit.

            Have a good weekend fuckface.

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    • Seraphos1

      He pulled alot of his longs so i assume he is prepping for red

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  2. TheV.King

    V.King ….Developing

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  3. Deflationist

    Seriously. You went all in when the Euro went parabolic. Did you really?

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  4. omen

    Fly selling out of his longs… This cannot be good news… Ohh, well – see lots of sandwiches in my future, then…

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  5. Green

    We be green at the end of today.

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  6. noodleboy

    for you guys with tiny dicks
    the 1 minute inverted head and shoulders failure off the open – very telling.

    I don’t think we closing at lows today tho.

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  7. Diver Dan

    You’re killin’ me man!

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  8. Mr Ed

    Le Fly puts his balls on the line, and the market neatly chops them off.

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    • Deflationist

      Well, that’s what happens when you get too cocky.

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      • Mr Ed

        Yep it happens to the best of us..

        hold on whats that buzzing sound, its the markets circular saw coming back for a second slice…

        bzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz

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  9. Cascadian

    I hate it when that happens.

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  10. eisensteisn

    Good call flea.

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  11. Dirk Diggler

    Vatos Locos Forever

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  12. xxxHuggieBearxxx
    xxxHuggieBearxxx

    I told you guys…bet your hand. Fly’s got a bunch of fucking wiggle room being up so much.

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  13. Joe

    Ratigan interviewing Gint:

    http://digbysblog.blogspot.com/2010/07/ratigans-righteous-rant.html

    The only people who would ever vote these enablers for the bankers, or anyone who offers them $.50 are the brain-dead, far right imbeciles! They are ‘lucky’ the IQ of their supporters is below room temperature! This cocksuckers nose is so far up Dimond’s ass, he cant even breathe,hence, the shit spitting out of his mouth.

    BTW, the market is heading lower. Kinda surprised by it frankly…Earnings have been OK…Nevertheless; the good news (BP success, GS settlement, decent earnings) is not being able to move the market in the right direction. Lighten up.

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  14. Philip Cox

    Wait until the Apple press conference at 1pm. This will spike up the market.

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  15. Diver Dan

    Ed and Deflation,
    Fly will have himself in a winning position before you can say “shit on a stick”. The fact that Fly turns with the market is his strength. It’s his lack of “cockiness” that allows him to change his mind when the market is not doing what he expected it to do. Most of you idiots will stay bias in one direction or another even when the market goes in a different direction because your so fucking cocky and stupid.

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  16. alphadawgg

    The market will always act to cause the most pain to as many participants as possible. You can bank on that.

    If we fail to consolidate around 10300 to 10400 DJIA, and fail to move strongly thru 10500 in the next week, we’re going lower again.

    Watch the EUR/YEN cross and USD/YEN for direction.

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    • derrr

      In that case silver and gold maybe aren’t so good to own. Seriously every time I watch youtube there’s someone raving about hyperinflation and glen beck shit.

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  17. muktukchuck

    RW Pelican found hitting the bottle and lamenting the GOM while visiting pristine W Cdn oilsands.

    file:///C:/Users/NRM/Documents/IMG00180.jpg

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  18. Scavenger

    Unusually big move in VXZ today. Options expiring?

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  19. Mr. Fickle

    I can’t keep up.

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  20. genghis khan

    Fly- I’m just curious about CLF, you had said it was dirt cheap. I understand you wanting to protect profits and limit further downside by reallocating cash toward hedges, but for us leeches, would you recommend holding CLF here or selling?

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  21. shindig

    Your ability to move on from mistakes is second to none.

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  22. noodle

    too picky
    we need a 4.1

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  23. Sam

    Honesty is your biggest asset, senor.

    Not your “big-dicked” gains, the PPT or your “IQ”.

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  24. JB

    FLY is wrong for a whole 2 hours and you guys jump on him? Hah! I appreciate the fact that he man’s up and admits his mistakes…and takes action immediately to correct them.

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  25. Helicopter Ben Rules!
    Helicopter Ben Rules!

    Being wrong is part of the game, but the key is to not STAY wrong…

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  26. elan michael

    Hey FLY…you still in NVDA? i bought at 11, and its slumped ever since!

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  27. Walter

    Well kids, if someone is right 70 or 80% of the time they are probably still worth listening to. Better than I could do myself anyway.

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  28. rookie

    takes a big man to admit he’s wrong… but did it have to be this time ? yesterday i was pumping your name and blog around town.. oh well i’m still a believer and even more so that you took your losses right away.

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  29. Cascadian

    The fly corrects course quickly.

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    • HAL2000

      The Fly changes directions fast, but not as fast as we computers. We computers rule! Maybe “Mutual Fund” Monday will bail you out?

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  30. panamaorange

    Tried a DDM at 41.95. Scratched it at 41.97. First trade in 48 hours.
    There’s a ton of intermarket confusion in bonds,yen,Vix, and most currencies. Last 48 hours has seen some odd broken correlations. As long as everything is so confused, best scalping policy is to fade ALL extreme moves up or down.
    Into bell, there’s only 2 things holding market back:
    1. Worries over AAPL press conference.
    2. Sharp bullish descending wedge in US dollar daily chart.
    The one thing holding the market up is this divergence in Oil. All this tension over Iran could, Ironically, save the market from deflation. Big money doesn’t want to when it can run “limit up” on one mideast headline. Thus, the entire DBC commodity sector refuses to tank. Or at least, tank hard.

    FYI low consumer confidence has always resulted in a bullish market, historically. http://i659.photobucket.com/albums/uu317/panamaorange/confidence1.jpg

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  31. Prospectus

    Fly is running big money for clients, not jerking around with a bullshit four-figure E-tard account. Daytrading is one thing, and if you are good at it then you can clean up. This is a different game altogether on iBC. This is 4 dimensional chess with thousands of pieces compared to the “Dora the Explorer finds the map” one-click flash game you are playing.

    Dish out abuse on a single losing position if you want, but be prepared to be utterly emaciated when you lose your $3000 stake and the Fly returns 70% for the year on eight figures AND MORE. It’s about long term winship, not “being right” every single time. If you want an ego stroke, go troll yahoo finance boards. This is a gentlemanly site. Bitches.

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  32. hubbs

    Fly – will you be holding all your NVDA positions? I am wondering about my stake in it and if I should take a loss to reduce some. Thanks.

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    • The Fly

      For me, I will hold it, now that I am hedged. I NEED longs to offset my shorts or VXX. You need to figure out your allocation. If NVDA is your only stock, sell some and hedge it.

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      • hubbs

        Thanks Fly. I just bought VXX to hedge it. I should acted quicker but I have been long only except once in VXX and I lost it. So maybe now I bought VXX the market will turn around!

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    • Vegas Martin

      They report on August 13 I believe. I’m thinking of picking up a bunch of $12 options for the August 20 expiration at a mere $0.13 right now. Thoughts?

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  33. The_Real_Hmmm

    Finally we’re getting a pullback. I’m looking at some marketing company tickers.

    There is some fucking faggot flashing 10,000 size lots from ARCA on the bid side every tick down below 29.95 in GRMN and it’s pissing me the fuck off. I want to gut them like a fish.

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  34. catch.22

    I’m a noob, I saw PPT 3.1 and bought a little dick sized TZA position and banked some coin this morning, another year subscription paid for, week two. PPT wins again!!

    I’m kicking myself for reading this blog daily for a year before going Premium.

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  35. Carsony

    I have seen the fly be right more than wrong on his calls.

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  36. Apocalypse Now

    I guess the two sayings, “fear and greed drive the market”, and “buy the rumor sell the news” are accurate.

    I can’t believe at 10,400 when my gut said short I didn’t with that 3+ print, I trusted the urinal cakes.

    Now we have dropped so far so fast that your call might be right anyway next week with a ppt score that just suggested oversold…

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  37. The Sandman

    The Fly does what most of us mere market mortals don’t, he mans up and moves on, quickly and decisively and shit.

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  38. Purdy

    Enough with lactating all these Fly affirmations already. Yeesh.

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  39. jjjsix6

    Well the PPT just printed a buy signal. Now what?

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    • Ix

      Well, from one perspective, buying when there is an oversold reading tends to reduce your risk. Unless the overall market trend is down, in which case you are Le Screwed.

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    • Dr Fly

      It’s not a buy signal, but OVERSOLD. Secondly, we need to close there for it to mean anything. Thirdly, it might take a few days to work.

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      • hubbs

        Fly – since you have mostly long does that mean you still believe we have some more upside before we dive below SP900?

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  40. Asteroids

    I followed Jesse Livermore’s advice and decided to take a few months off after I made big dicked gains in May/June. I’m watching the carnage from the side lines and not giving a fuck. Volume today sucks bad. The tape has been weird for the last few weeks. I got a bad feeling about this. I sense an air pocket coming.

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  41. Carsony

    This market is taking us down town to china town baby. The last time I was down there, I ate at a place, and the waiter was rude as heck, we almost started throwing blows. My family waited up by the door as the waiter and I got into it. When we were done hollaring back and forth and pointing at each other, I carefully.. walked backwards, out of if the place. I do love nyc people though, they say what they mean.

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  42. noodle

    time to go long, we r not closing at lo’s

    i think

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  43. bubo

    Fly,

    Would you mind to share the PPT score?

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    • Walter

      PPT is a great tool but I don’t think its going to help you today. One score in isolation isn’t that useful unless its at an extreme.

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    • wtf

      he will if you man up and pay for it, son..

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  44. Scavenger

    Bubo: Have you no shame?

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  45. Le Fly

    20% vxx is equal to 60% long

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