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
23,431 Blog Posts

PUNISHMENT

Let’s be clear about one thing here: this is not a bear market. The Dow and the S&P are doing just fine. Ever since I removed myself from the wreckage of my high beta/momo/death traps, I’ve been able to think clearly and avoid the urge to punch holes into my walls. Having said that, I did buy a few remnants of the past (RKUS, CRTO) and they’ve certainly served as reminders of what to avoid in this market.

With about 25% cash, portfolio mostly filled old man stocks, I know what to do.

I am waiting, mind you, for an oversold signal or two, courtesy of The PPT.

Today’s action can only be described as indiscriminate punishment, without boundaries–a North Korea interrogation facility led by rogue officers of the NSA.
If you miss earnings and fall into the category of “cool”, you will regret the day you were born. Rest assured, we are merely in the beginning innings of this correction (Extra Grady).

SSNI -32%
ZU -30%
RLOC -27%
EXTR -26%
FEYE -25%
END -25% (apropos)
DTLK -24%
AOL -22%
GRPN -21%
AEGR -21%
WFM -19%

Aside from the above train wrecks, there are over 350 stocks down more than 5% today, far worse than yesterday’s junior varsity decline. Welcome to the big leagues.

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30 comments

  1. the unbeliever
    the unbeliever

    Fly- is FEYE worth a shot here? Also, CRTO looks real tempting, are you doubling down?

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  2. xxxhuggiebearxxx
    xxxhuggiebearxxx

    It’s a funny world! This market just won’t go down though….really not even a little bit!

    My personal theory is that “they’re” singing us alll a little lullabye. “Lullabye, lullabye, fall to sleep sweet sheep trader, its ok, keep and stay, there’s no need to fear here.”

    But, you know what happens just when that little lullabye causes you to get a little sleepy, a little cozy….to drift offf a bit.

    You know whats going to happen.

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  3. bonobo smores

    CRTO looks tempting. Good thing I’ve outfitted myself with a male chastity device (aka penis guillotine) that will slice and dice if I pull the trigger.

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  4. cadguy

    Fly check out AVO – stocks down ~20% based on the CFO taking a leave due to “health reasons”. The company is #1 in the video surveilance industry. The company is a bit expensive at 40x P/fwd E but it has grown revenue at a CAGR of more than 100% with increasing profitability since 2009.
    I’m just trying to figure out why the stock is off so much, Reports 1Q after the close today.

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  5. bood

    indid . buyers set bear traps . only. some bear escape with a gain . other are deballed. the market is pretty fine for being @ alltime highs.

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  6. bood

    a neuro robotic era is behind the corner , a green energy era is on the run, and tech is never been as hot as today . volatility is controlled . there’s no time and space in the basket for selling off

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  7. the unbeliever
    the unbeliever

    What’s up with iFon?

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  8. matt_bear

    25% of a company’s value gone in a single trading day. it’s bear porn to the max and i haven’t participated. 🙁

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  9. jules

    I believe twitter handle @dbk_mdz and @blacknyellow20 are some of the trolls who frequent this site. I just thought I’d post it here.

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  10. Mr. Partridge

    Agree, this is not a bear market, but this is also not a bull market. No bull market behaves like that, with QQQ and RUT crapping all over themselves.

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    • Mr. Partridge

      and than there is MM … things get hot on momentum front

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      • jazzyjeff

        holy crap on a stick

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        • Mr. Partridge

          Not that it matter anymore… but they all go there to die… some faster than others.
          I have seen dot com – this is nothing even after 40-50% drops… much more possible.

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          • jazzyjeff

            sadly you are entirely correct

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          • tradingnymph

            Still think the entire thing topped out in Dec at SPX 1755 and this is just a strange froth dance. FWIW, you know in late 1999 china ran into the same problem about defaulting on certain biz loans which dried up liquidity for them..just was reading about that.

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          • Mr. Partridge

            Topping is a process… sometimes takes very long time

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          • tradingnymph

            I am learning this…You know this is my first Bubble. It has been fun to watch it from start to finish, if it ever finishes.

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    • bruce keller

      RUT and COMP are so ugly looking. Almost everything else is too. Only SPX and DJI look OKAY and they are not even good. Never count the Fed out, they still have $45b/m to play with but that might not be enough this time, TBH.

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  11. I Am Jesse Livermore
    I Am Jesse Livermore

    And the beat goes on. TSLA down to $185 AH after earnings. Below key $194ish support.

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  12. bushwacker2

    Get ready for throwback Thursday and a possible reactionary bounce in momo stocks…then add to positions again. Btw, TWTR to 20 and FB TO 40.

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    • woj

      I hope TWTR goes to 20. Worth less than $12bil?? Haha. I will take out 2nd and 3rd mortgages on the house and put it all in TWTR if that happens. Wouldn’t you like opportunity to go back in time and get in FB at $18?? Same thing. Just need patience and balls.

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      • woj

        Einhorn has put sheer panic out there that anything tech, high growth and low earnings is a bubble. He will be right about many names. Don’t you think he is loading up long on the names that are getting punished and shouldn’t be? For sure he is. DATA, FUEL, CRTO, TWTR, etc.

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        • bood

          sure

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        • it is showtime
          it is showtime

          Liquidity rich environment:
          Yes FB DATA TSLA types have euphoria drive

          Go back in time analogy:
          Doesn’t work infallibly. In this case reference point IS a euphoria period

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