I woke up to boolish comments by Draghi. I saw European indexes were flying off the handle, then China surprised everyone with a 40 bps cut. Now, I don’t want to count the chickens before they’re hatched or put the carriage in front of the horse. However, according to my stock market playbook, this is outrageously bullish news for stocks and should, might I add, usher in a new era of heinous executions inside of the bearish ghettos of StockTwits.
The trade is simple: buy commodities (copper, oil), shippers and BABA. You laugh now; but this is the sort of action that changes everything. If China is hellbent on reflation, God damn it, reflation they will have.
Quite frankly, I find there to be a certain romantic notion to this here rate cut, ahead do America’s national feast. Very shortly, we will be devouring large birds and yams, tossing biscuits around the dinner table, all the while our Chinese friends from the orient do the heavy lifting for us.
Like I said earlier, I don’t want to pop the champagne corks into your face just yet. I will reserve that for the closing bell. Nonetheless, it’s worth noting the stalwart action in Europe, coupled with our gap up in futures. Unless we are bedeviled by some ‘sell the news’ chicanery, you are in for a real treat today.
My book is diverse, even though I mainly talk about a handful of stocks. I own upwards of 35 stocks and should track the NASDAQ well today, unless of course GPRO drops another 7.
In summary, I believe the Dry Bulk shippers will repeat what they did in December of 2013, which is melt the fuck higher. I am bearish, mind you, on gold–because it is stupid. And I believe copper and oil will find buyers here. In the oil patch (such a stupid fucking phrase), I am long SLCA, DVN, COP and CHK.
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the market will consolidate 2-3 weeks and will fill today’s gap before the santa rally. put spy/iwm is the money trade.
finna let that FRO out bro?
Too much debt
no more CLR for now?
Sold it a few weeks ago
Too much oil exposure.
gold and silver stocks are for losers.
GPRO and HABT getting sold off like day trading vagabonds while p.o.s CNV rips
Coal, refiners, copper, even the worst company that ever existed (EXXI) is showing some life. Long live our Chinese overlords.
GPRO prob the weakest stock on my watchlist right now. Shame I own so much of it.
GPRO remains a short. This is not a stock you want to be holding until such time it hits $65. Added some Dec. $75 puts this morning on the quick bounce above $73. That is all.
Thank you sir we appreciate your analysis
Loaded for GPRO Bull in large fashion now that the tank was topped off with Dec. put options at 6:42 am PST.
Long BAS, CWEI this morning
My first post… I bought $10K of GPRO the day before earnings, figuring why not. Watched it pump aaa-aalll the way up to $85. Had a tingle I should sell on Monday. Ignored it. In at $67 (previously in at $38). I know we will get fucked again on Dec 22 when the lockup ends. Watching for a nice exit point between now and then…
Thanks, FLY, for the TLT back a few months ago. In at 113, out at 119. Was a great move. Currently I’m up 10% in COST. That’s where Monday’s GPRO sale money *would have* gone.
dude you are high GPRO is the future
Le Fly, I think you mean
“FOLTY BASIS POIRNS”
My FA got me some BABA at the IPO. Requested 8,000, got 200. I like BABA almost as much as I like my FA.
Maybe the Chinese can get me out of some of my heinous iron ore positions. Sheesh.