Be Careful Where You Point That Loaded Gun

You internet fuckers, with no professional experience in the securities industry, better be careful who you accuse of being fraudulent.  The SEC loves to go after the “little guy” aka you. All of the recent carnage being applied to the Chinese stock sector will have ramifications. Outfits like Muddy Waters and Citron Research will be sued for defamation and their trading accounts will be frozen, if it is revealed that they were working in concert to manipulate share prices. I’ve seen this happen so many times throughout my career and the ending is always the same: bad guys lose.

While it’s true, CCME may be a fraud. How the fuck should I know? They have an auditor and I read somewhere that Hank Greenberg’s firm is involved with them. I don’t know. But, there is something distinctly wrong with people selling short a shares of a thinly traded stock, in advance of a research report that will kill the share price by 30%. Trust me when I say this: if iBankCoin affected the share prices of stocks we talk about, I’d NEVER mention a stock again. I’d be scared to mention anything, if it resulted in 30% moves.

Message to Citron, Muddy Waters and people of that ilk: retain legal counsel.

Let me start by saying I was down 1% today, all due to the cocksucking action in BORN. Some of my loss was offset by gains in EXK; but I still finished down a bit.  So you know, BORN is a rather large position of mine, as I have been buying shares for a month now. My rationale, in my opinion, to buy the shares is sound and the value proposition is solid. However, there are a group of insidious cocksuckers out there, namely Muddy Waters and Citron Research, that make it a point to incessantly target chicoms with their “investigative journalism.” Because Muddy Waters nailed RINO (shot in the dark), people believe they are operating with crystal balls on their fucking desks and magic umbrellas up their asses. Today’s hit piece on CCME is disgusting, for a very specific reason.

They are coordinating their assaults on these companies and using their megaphones to manipulate stock prices. Are they trading ahead of their research? Ask the SEC, see if they care.

Having said that, frustration and anger does not generate gains. I added to my BORN position at the end of the day, but nothing too big. It’s important to understand why the stock is dropping and how low can it go. People are scared. When people get scared, share prices disconnect from reality, allowing those with liquidity to take advantage. However, before that chip can be cashed in, you have to get the timing right. In this case, my bet is for a better than expected earnings report, scheduled to be released 2/15. If you are short this stock and feel they are “cooking the books,” the last thing you want to do is ride this fucker short into earnings. After all, the “books are cooked” no?

Aside from that, I like the market here and will look to add to some precious metal names, which will be researched tonight, while you are asleep.

Gold and silver reversed to the upside, in rather dramatic fashion this afternoon. There doesn’t need to be “news” to see the metals trade up, being that they are lagging the commodity space. Chalk it up to more buyers than sellers. I am not an authority on the metals and can only recommend a handful of names, EXK being my fav. If you want more insight, Jakegint is your man.

Chinese stocks are being destroyed, thanks to a coordinated short attack on CCME. For the record, I do not know CCME and couldn’t care less. But, the stigma of anything Chinese is scaring investors out of all stocks, BORN included. Comparing BORN to CCME is apples and oranges, as BORN went through the regulatory hurdles to come public, via iPO. Either way, it is not fun being on the receiving end of the homo-hammer. In my opinion, it is a buying opportunity.

Separate from that, I like ATPG, AGU and MOS, into the bell.

You have to love Ben Bernanke, especially when he looks Congress in the face and tells them he is not concerned with inflation. On 60 minutes, he looked straight into the camera and declared he was 100% sure he could stop inflation, if needed. Obviously, he couches his inflation argument by pointing to wage growth, instead of commodities. It’s as if the Fed thinks we do not eat food or drive cars. It’s as if they thought we were all robots.

Maybe they’re robots. Something to think about when smoking a large blunt.

Year to date, cotton is up 24%, tin 14%, nickel 12%, cocoa 12%, sugar 11%, uranium 9%, corn 7%, coffee 5%, while the only real negatives are gold -6% and silver -8%. It’s my belief that gold and silver both represent great buying opportunities. As you can see, commodities are not pulling back, but accelerating. It’s simply a matter of asset allocation that is causing precious metals to dip here. Give it some time, you impatient beast of a man.

Over the past year, the numbers are staggering, with regards to commodity prices. Without coming off as some sort of fact checking moron, just know cotton is up 168%, tin 84%, palladium 83% , coffee 75%, silver 69% etc. You get the picture.

With food commodity prices through the roof, expect farmers to spend money like rappers this planting season. Those fuckers are going to upgrade irrigation systems (LNN, VMI), buy new tractors (TEX, CAT) and of course plant lots of crops (MON, BG, DD, SYT), which calls for lots of  fertilizer (AGU, CF, MOS, POT).

Trust me when I tell you, “milk the farmer,” ahead of planting season.

If you are living under a rock or watching the brain dead idiots at Fox news discussing the many evils of Obamacare, Egypt has gone full Mad Max right now, killing people live on tv. Apparently, the pro Mubarak operatives are on the receiving end of extreme mob justice. It’s obvious that the government sent these morons out to start trouble. I believe they made a grave miscalculation. Instead of a docile, “please leave now crowd,” now Mubarak  has a “fuck you, we’re going to burn this country down to the ground” mob, demanding his removal and likely his head. All eyes on the Suez Canal.

U.S. futures are dipping, but nothing dramatic. Gold and oil are climbing and should continue to do well, as this shit hits the fan.

The age of revolution has arrived. Today in Cairo, tomorrow in Washington D.C.

As an aside, I must deride the clowns over at Fox News for their lack of coverage. Where the fuck is Geraldo Rivera when you need him? Whose wise idea was it to forgo live, on the ground, coverage in exchange for typical Hannity/O’Reilly horseshit? Say what you want about MSNBC. But those fuckers boss’d up here with their live coverage. May they steal millions of viewers from the dick-suckers at Fox News, much to the chagrin of devout fan and viewer, Senator Gint.

NOTE: iBC is steaming both CNN and MSNBC on the top right part of the site (retards). All you need to do is click play.

You will be waiting a long, long time. Do not postulate a lower stock market because we are going higher. The very basis of that position is counter-intuitive and against the prevailing trend. In other words, I throw pieces of ham at your face, while you cower under your magic umbrella.

There is no such thing as “easy money”; but this is as good as it gets. Having said that, and I know you agree, why bet against this modern marvel?

For the day I retraced less than 0.2%, basically flat. I had minor losses in EXK, MOS and KEG and gains in ATPG, AGU and FORM.

Back at it tomorrow, with a full heart, as always.

It’s very tempting to get all scared and shit, due to the unrest in Egypt. But then I remembered, “oh yeah, POMO.” No matter how hard you try, you can’t beat the clam, so stop.

Earnings season has been a great success and the recovery is underway. Do not let a little “Egyptian bullshit” get in the way of a little stock market melt up action. It’s long lasting and perpetual.

With my money, I booked gains in AMKR and BRNC and bought size in ATPG and nibbled on THQI. Ultimately, my wins will be extreme and belligerent. However, for now, in order to get comfortably in the black, I am booking small gains. I am moonlighting, if I may be so bold. I am here for the money, then I go.

My position is all but cemented. Long with 90% of my capital, 10% cash. Heavily long EXK, MOS, AGU, ATPG and BORN. Meaningful positions in FORM, KEG and TEVA. Year to date, I am up about 4% with my eye on the prize: fuck Egypt.

I bought 50,000 ATPG, for the squeeze.

UPDATE: I bought 5,000 THQI

Disclaimer: If you buy ATPG because of this post, a pro-Mubarak “demonstrator” will throw a malatov cocktail through your living room window. And, you may lose money.

Raising some cash to finance a purchase, I booked profits in both AMKR and BRNC.

I am mesmerized, watching Al Jazeera from my iPad. The pro-government fuckers are beating the shit out of the anti-government protesters. It is official: their bullshit revolution has decidedly taken a turn for the worse and now may spiral into civil unrest. Dare I say, they need muskets and small grenades. That country is on the brink of total and complete chaos, just like the stuff I read about in Tale of Two Cities.

Expect guillotines to make an appearance shortly.

Much to my delight, the market doesn’t give a shit. My positions are edging higher, as I am heavily long commodity related stocks. I like silver, ag and Chinese whiskey. Call me old fashioned.

You have to watch this shit unfold, here.

NOTE: Liberal journalists are BESIDES themselves, as the peaceful kumbaya style protests are now over.