America Does it Again

Just the other night I was Count Dracula, saying goodbye to China, for good. Today I am a shareholder in BIDU. Two days ago, FCX was on a bee-line to zero; now Carl “fuck you, give me 3 seats on your board” Icahn has the shorts screaming inside of a burning barn–awaiting death.

No one really knows what the fuck is going on, excluding myself of course. We’re all just pissing in the wind. Again, I’d like to excuse myself from this discussion. Thanks.

“The Fly” knows exactly what he’s doing, at all times, a giant cock amongst a field of erectile dysfunction. Very simply, you cannot fuck with me.

I do stand before you in a very victorious manner, despite not catching the exact bottom. Bear in mind, I did not draw down (lolz) like the rest of you, harangued by downward spiraling stocks, miserable and without initiative.

Anyways, you know where I stand, long with 25% cash. The entirety of my portfolio is listed in Exodus, alongside my watchlists and real time buys/sells.

I’ll put forth some new ideas tomorrow.

Good night.

I’m getting all “Chinese’d” up again. I bought the only worthwhile stock in all of the orient: BIDU, below $150.

I also bought long term SHAK calls, a starter position in AMCX and added to my CYBR position, which was partly liquidated at $60.

With these buys, I’ve reduced my cash position to 25%.

One might ask “Fly, why do such a thing as this, when you yourself said it wouldn’t be the proper idea to pursue?” To all of those people who ask that, I am telling you right now, right here, go fuck yourselves. I’m entitled to dive into concrete swimming pools, that are depleted of water, clad in full celestial costume. You do not have the right to question anything that I do.

It’s like a small stupid child questioning a parent about bedtime. It simply isn’t appropriate.

I didn’t miss the rally, since I’ve always had 45% exposure. But I’ve missed the inflection point rally and now stand before you ‘supreme jackass’ of the first order.

So many stocks were being tossed away, liquidated by the Third Estate in frantic manners. I managed to sleep through the whole affair. Oh well.

Life goes on.

Oil and gas stocks are rallying hard today and I’m making up more lost ground in a few key names. I’d rather dive into a waterless pool than chase a plus 1,000 rally, so it’s popcorn and the couch for me–3-D glasses and the like.

I was outside playing in the street when the rally happened.

Instead of following through with my plan, I turned into a fucking vampire, called myself a count, and affixed blood sucking bats to the iBankCoin logo.

.

.

.

I’m miserable, dejected even. I had no shorts, only a few gold positions that have become the very essence of moronic design. All that aside, I was supposed to partake in the rally. I set up for it. I plotted and schemed and wrung my hands in a maniacal fashion when thinking of the deals I would steal. Instead, I got this.

It’s all well and good, lads. “The Fly” lives to fight hard another day. I have 45% long exposure and made some coin today. But it could’ve been so much better, sublime even. On days like this, weeks like the previous two, I question whether or not I am fit to manage money. The fear of loss has overshadowed the greed of success. I’ve become so jaded to everything that I see and hear, often times I am paralyzed from executing on plans that I design.

The market took the opposite path of prevailing wisdom, meant to hurt and humiliate the maximum amount of traders. If this logic is to hold true, tomorrow we will dive, inexplicably, by 500 points.

Truth be told, this mood will pass. It always does. It won’t be before long when I am blasting Rick Ross gangster music again, while slapping all of you with hot slices of pizza. Until then, I brood while listening to this, on repeat.

I keep seeing this little fucker on CNBC talking about buying stocks hand over fist, proclaiming this to be a garden varietal correction and then in the next sentence say he’s worried that the Fed isn’t going to RAISE rates and how that would be bad.

Why would it be bad?

Here comes the good part, something shared by fucktards globally.

He said “the Fed needs to normalize rates now so when the next recession hits, they can lower rates.” He furthered by suggesting if we had to do another round of QE, we’d be in big trouble.

Okay, my turn.

What evidence do you have that says QE didn’t work? Last I checked, Dr. Benjamin Bernanke saved the western world from the savage. His investments were brilliant, both in treasuries and the mortgage market. The Fed has massive cap gains on their balance sheet, thanks to QE. Moreover, we have never recovered from the 2008 crisis. We only papered over it. The only way to truly recover is to grow like a motherfucker or reset the national balance sheet, aka go bankrupt. We both know that isn’t going to happen, voluntarily.

So, the only option we have available to us is to extend the death sentence. Global growth is slowing in a big way and the Fed cannot be seen to be ridiculous, by raising rates in an environment like this.

Like it or not, this is the new normal. The old rules and tools do not apply. Raising rates for the sake of being able to cut them later is a ridiculously laughable proposition. We have 19 trillion in debt, son. There isn’t an advantage to be had by raising rates with that sort of fuckery.

The best thing the Fed can do now is remove the option of raising rates in 2015. That would stoke the flames of speculation and lend confidence to the canaille day trader, who is now in his natural peasant form, without the accouterments of faux wealth to make him/her feel better about themselves.

I give it to you, the reader in his housing tenement playing with his Netflix buttons. The market is all yours.

I needed that gold stock yesterday like I needed a hole in my head. This isn’t a rally, but a trap. The Fed is still retarded, talking about delaying rate hikes in September. The whole logic behind the rate hikes is juvenile.

“Let’s hike rates now, so we can cut them later, when we really need to.”

Fuck that.

The margin clerks are coming. Fear them.

This afternoon I visited a China antique shoppe in search for collectibles. As soon as I walked in the man who owned the store picked up the phone and started to argue with a customer, naturally about money. Inside of this den of inequity, I perused countless counterfeits and subpar goods, faux antiques and shit, of the first order.

Tonight, I preside over a coffin and in it is the entire country of China. Their indexes are sliding a calm and collective 4% tonight, a rather decent showing in comparison to last night’s -7.5% drubbing. Their index, mind you, is down 35% over the past month and it has a lot lower to go.

Why you ponder?

Because the entire dog-eating country is a fraud, corrupt vagrancy disguised as prosperity. These people haven’t the slightest idea what they’re doing. I entreat them to sell their US treasury holdings and use the proceeds to build ghost cities. But they won’t. Do you know why?

CURRENCY RESERVE STATUS.

The Empire of the United States doesn’t compete with any other nation. No one is able to hold a candle to us, due to fiscal and military supremacy. We are the greatest nation to have ever existed and our implosion will  cast tidal waves around the globe 10x over– with a pain that will be feared for thousands of years to come. People will one day talk about it and whisper the tales of when America went haywire, causing nightmares in small children and retarded adults.

Count Dracula Fly writes to you this evening to inform you that the market is irrevocably fucked for at least two years. Yes, we will play bounces and make some money on the long side  within the next week. But the great Chinese dragon is dead, leaving a trail of moronic US CEOs in their wake, scurrying about, trying to ponder how to meet earnings estimates for 2015.

They will not.

The deflation is real. Only a complete reset of the system will make things like they were. Until then, we’ll be stuck in a vortex that grinds us into flakes. Oddball currency crosses between the euro, dollar and yen will continue, assuring that a completely new set of speculators get fucked on a daily basis. The very best hedge fund managers will go away, like China, never to be heard from again. If you’re not careful and faithful to the “do no harm doctrine”, you too will be fucked, the reader, reduced to traveling hobo about the trains–begging for scraps of bread and hot water laced with hallucinogenics.

But you wait for the dip buying opp. In the meantime, the Chinese stock market experience will continue to delight the Devil, thrusting submentals into action in a purblindly and harmoniously methodical, intoxicating waltz, reminiscent of the actions of better men, American men, in 1929.

Morton’s fork.

Sleep well and good night.

We are about to go negative, reversing a 400 point move.

Here are some scenarios that might play out.

We close at the lows and everyone blows their brains out tonight. Then, after you’re dead, China rallies 10% tonight and we re-rip higher by 400 tomorrow.

Or, China tanks again and we dive into the blackest and hottest areas of hell tomorrow, reversing any semblance of decency and decorum, retesting the lows from yesterday, down 500.

Or, Asian trade is unremarkable and we sort of trend sideways for the next week or two before moving higher.

Like I pointed out in a blog in Exodus today, a V shaped recovery isn’t in the cards, based upon previous algorithmic readings.

I am still 55% cash and only bought back some GG today, thinking gold might reassert itself as a safe haven. Truth be told, the more I look at the facts, the more I believe we are entering a long, painful, period of market action, aka a bear market.

I bought back half of my GG position that I had sold north of $15.50 a week ago. I will complete the purchase of the entire position into strength, not weakness.

Back when I was starting out, I had a real bitch of a margin clerk. She had dead eyes, and a serious demeanor, like a shark. At around 2:00pm, she’d make her way around the office, like a mafia hitman, demanding payment, else face the consequences. Often times, we’d hide from her in the bathroom, lobbies or head out for an extended lunch. Sometimes we’d go play arcade games in Times Square and try to forget our misery by playing the games of children.

It was a sad time to be in this business, back in 2000-2002. No one wanted to invest in stocks and to look at client accounts, post crash, was simply depressing.

Guess what? You young fuckers might get to “enjoy” it now, for at least the next two years.

China goes offline: your whole business ignites into flames–like a homeless man wrapped in burlap.

The margin clerks are make the rounds now. Expect volatility into the bell.