More Downside

Now, many of you are scurrying around, like a mouse chasing cheese, with regards to buying this dip. However, you are sadly mistaken.

Even the best bull markets ever, the ones that suck the pants off investors, feel the other side of the blade—on occasion. Back in 1999, I knew people who lost money in the market, long, due to erroneous timing issues.

So, my advice to you is: chill out and go eat a chocolate cake. You know, the sort of cake, like from Cheesecake Factory, that will put 3lbs on your ribs immediately.

On this dip, I am taking naps. Should the market dip another 2%, I will commence buying back in.

If you are like me, heavily in cash, waiting for a pullback, prepare a list of stocks that you would like to buy on dips. I know, looking at the market, it’s hard to imagine the eventuality of a market decline. Just in case you forgot the answers, try to remember all of the times the market ripped your face off. I think you will find, shockingly enough, it was directly following you buying before a decline. Rather odd, no?

My list is rich with foreign and 4g names. I want to own Amkor Technology, Inc. [[AMKR]] , Corning Incorporated [[GLW]] , OmniVision Technologies, Inc. [[OVTI]] , TriQuint Semiconductor [[TQNT]] , Aracruz Celulose SA (ADR) [[ARA]] , POSCO (ADR) [[PKX]] , Fomento Economico Mexicano SAB (ADR) [[FMX]] , Starent Networks Corp. [[STAR]] and Cypress Semiconductor Corporation [[CY]] , just to name a few.

For the love of dirty dogs and greasy tires, I want to buy stock. It’s not fun, holding a cash position north of 40%. I want to run the fields of Ireland, like a leprechaun, bragging about my wins, while throwing empty beer bottles into the windows of my Irish neighbors.

As an aside, lithium battery maker, AONE, is coming public today. It may or may not bring attention to another lithium play, Sociedad Quimica y Minera (ADR) [[SQM]] .

Finally, with my money, I will continue to build my list, while waiting, ever so patiently, for a decline in the general indices. I don’t have much more to sell, so my activity in the market is going to be limited.

[youtube:http://www.youtube.com/watch?v=Sc75fEWzf-c 616 500]

I am “King Cock.” With every market move, my stardom expands. While most of my competition jumps from rooftop to rooftop, in the middle of furious thunderstorms, with lightning rods in their hands, “King Cock” smashes battle axes into skulls of idiots.

Despite all that, I insist, the market cannot go up forever. I mean, at some point, people will get fat and lazy—picking up on old habits, like short selling. Ahhh, the misery of a bearshitter: I feed my soul with it. Granted, it is a character flaw; I knew that back when I was 7, after tossing my friend out of a tree—on his nose. Nevertheless, “The Fly” would be nothing without something or someone to hate on.

Gleaning over my accounts, my cash position is above 42% and rising. My only purchase was Sociedad Quimica y Minera (ADR) [[SQM]] , since I was told to do so with a sense of urgency.

Bottom line: don’t be a pig faced glutton. Go take a brown bagged a 40oz. of malt liquor and loiter with it, in front of your neighbors house, instead of chasing stocks here.

UPDATE: I sold out of Sonus Networks, Inc. [[SONS]] , @ $2.19.

I bought 5,000 Sociedad Quimica y Minera (ADR) [[SQM]] @ $39.50.

Disclaimer: If you buy SQM because of this post, you will lose 30 IQ points inside of a year. And, you may lose money.

I’m hearing great things about [[SQM]] , with regards to its dominant lithium business (think cellphone batteries) and their soon to be ramped the fuck up potassium business (think fertilizer). The company is in the midst of making the biggest investment ever, into expanding their fertilizer division, going from 186,000 tons in ’08 to 1.5 mill in 2013. And, the company stands to benefit from the psychopathic green movement, with regards to electric cars and solar energy plants, vis a vie their lithium and nitrate divisions.

All in all, [[SQM]] is a stock worth pursuing, especially on dips. Moreover, it falls into both my 4g and foreign investment thesis— a win-win if you will.

Early going, the market is weak, led by losses in commodity related names and tech. In short, I still believe we are due for a minor pullback, to the tune of 3%. Hence, I am sitting with a cash position, just north of 40%.

It’s amazing to see retards make it out of the credit crisis alive, such as the foolish folks at Pzena Investment Management, Inc. [[PZN]] , Janus Capital Group Inc. [[JNS]] and even BlackRock, Inc. [[BLK]] . One year ago today, I thought for sure PZN was a fucking goner, them and all of their bullshit bank stocks. There is a lesson to be learned in all of this, which is: no one knows dick. We are all better off slapping each other in the faces with tuna fish sandwiches, than fucking around with asinine predictions.

With that in mind, I am predicting a minor sell-off into mid October, followed by a HALLOWEEN SURPRISE.

Top picks: Flotek Industries, Inc. [[FTK]] , Sociedad Quimica y Minera (ADR) [[SQM]] , Barnes & Noble, Inc. [[BKS]]

Summertime is over and it’s time to get serious again.

With that in mind, my man, Chuck Bennett, will be escorted back to the Peanut Gallery, starting 10/01/09. Everyone loves a good Chuck; but I need to do a little trimming. Additionally, Mr. Treu, as much as I laugh at his humour [sic], offers zero value for stock investors. As a result of this horrifying fact, he is a goner. And, finally, with the hurricane season over, Dr. ‘Cane hits the bricks.

Let it be known, I will hire all three, once again, during the summer of 2010—mainly to liven up the moribund nature of the site (think Woodshedder).

As for adding new bloggers, I am always on the lookout for talent. So, if you are interested in gifting the world with your presence, keep posting in the Peanut Gallery, for I might just pluck you out, pay you a salary and put you on the road to unmatched riches.

[youtube:http://www.youtube.com/watch?v=EAZq74-Qe7g 616 500]

While you sit there, in your bullshit pleather chair, stupefied by the gangsterism of this market, “The Fly” banks coin.

You shower yourself, fully clothed, sucking down a bottle of Jack, and still—“The Fly” banks coin.

Your wife divorces you because you are a selfish dipshit, and still— “The Fly” banks coin.

This is not rocket science people. If you are too dumb or inexperienced to game this market, join The PPT and learn from a real trading community/analytic Godsend. Fuck you and your asshole twitter feed. When stuff is free, it attracts misfits aka losers of the worst order. Anything that is worth paying attention to has to be paid for. Trying to live life like a vagabond muttonhead will get you exactly where you deserve to be: NOWHERE.

Le Fly is a creator of wealth; what do you do for a living? My guess, you simply waste time.

For the day, I made egregious coin, long Flotek Industries, Inc. [[FTK]] , Sonus Networks, Inc. [[SONS]] , DryShips Inc. [[DRYS]] and General Cable Corporation [[BGC]] , amongst others. As you know, I will continue to sell into this rally, as evidenced by the sale of my beloved Starent Networks Corp. [[STAR]] . At the present, my cash position is nearing 40%.

I sold out of Starent Networks Corp. [[STAR]] , north of $26.25.