Holy earnings blow out.  Look at our newest enterprises, wowing the street with hot numbers.  Zillow and Angie’s List are ripping afterhours, partially because there’s a housing resurgence, partially because they’re the way of the future, the future, way of the future, ehm. Future.  Howard Hughes (HHC) ripped all day.  That was my tribute to the aviation legend.

Fly pens posts like ‘The Amazing Market’ that get me so pumped to bank coin I have to sit in my car for 10 minutes listening to classical music so I don’t put my head through the windshield like Busta Rhymes the first time he heard Eminem.  Get excited people!  These rip-tastic days are numbered.  You need to, “get it while it’s here boy.”

Every time I upload a blog post I feel like I’m a member of the future society.  It’s never a burden.  Just as many Americans enjoy a fecal cruise, I enjoy typing a message to the world then permanently etching it into the archives of the greatest website on the internet.  Future.

ZNGA, Z, YELP, FB, TRIP, OPEN, ANGI, LNKD, take your pick.  One of them is going to double.  Stick to the charts and you can ride along without getting castrated by the inevitable loser.

If you can’t allocate risk capital into this space, you’re bound to miss out.  I’ve been beaten with a dough roller by YELP once.  I cut off my right pinky as a reminder to stay humble (kidding).  But know what type of beast you’re dealing with.  Know the range volatility and position accordingly. 

One can only lead a horse to water.  You best take a drink before Elizamae makes you his main course.

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We had a bout of selling come into the market late this morning, pushing stock prices around a bit.  I raised my cash levels to 9% through the sale of American Apparel and a scale in Angie’s list.  I still like both names.

There’s serious strength today in Trulia and Zillow.  I’ll be keeping both names on my radar going forward.

We’re seeing mixed action in the solar sector.  My new FSLR long is getting engulfed in sell orders.  I’m not overly concerned as the chart continues to look constructive.

It’s interesting the Carnival cruise ship made news headlines today.  After watching the State of the Union last night, and admittedly being a little drunken from Guinness, I was thinking about how stupid we really are.  As a nation, we like to comport ourselves in a manner that exudes civility and order.  All these politicians sit in their fancy rooms and have clapping contests and we all get on with our lives like good first world class citizens.  But it’s all so delicate.  The only thing keeping us from turning into Afghani troglodytes is better weather and landscape.  Put 1000 average Americans in cave country without food and all hell will break loose, everything will become a toilet.  Disgusting.

It’s all pinky up until you’re punched in the face over a Cool Ranch taco.

I better bottom line this post.

BOTTOM LINE:  There’s been a bit of selling but we’re still above key levels.  House hunting apps are all the rave.  I have more cash on hand now than I did earlier today.  Top pick remains TPX.

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One piece of the market that is sucking wind today is last week’s high flying social stocks.  While many of these companies get the “privilege” of being at the Goldman Sachs tech and internet conference their stock prices are taking a (s)hit.

Aside from all that noise you need to be aware of how an instrument trades before you hop on board.  Take ZNGA for instance: if you’re surprised when the stock moves 8-10% against you in one day, you’ve never traded this wiry bastard.  Welcome to trading ZNGA, size your position accordingly.

Facebook continues to get the infidel treatment by the terrorists on twitter.  I love the sentiment out there, it’s one of the only things keeping me in this weak chart.  I may get shaken out of this name, or I may get larger, but I’m not yet willing to write this position off as a loser.  And if you recall, I’ve already booked solid gains from the first pump in the name.  Taking scales is what works for me.  I have booked profits cushioning this position.  Bring it on.

I can promise you this, the last place I want to be is holed up in some ugly banquet room, standing behind a table pandering to banksters.  I feel bad for the companies held in GS purgatory.  Many of the employees sent over would rather be enjoying their MJNA, reading comic books and writing code that will soon rule the world.

Except for CREE, they’re all business: buying hookers and cocaine for the GS bankers, making moves.

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The market is doing its levitation trick again today and it’s best to play along.  Otherwise you’ll end up disappearing, poof!  It is magic, you see?  You like?

I’m continuing to keep it as simple as possible to avoid mistakes.  This means I don’t have much news to bring you.  I have a broad array of longs in industries across the world.  While some of the stocks take pause or rip around with tenacious volatility (see ZNGA) you have other stocks continue to behave like productive members of society.  Doing as they’re told, going higher.  Just as I do what I’m told: drive to work, punch away at excel, marry and reproduce, etc.

We’ve sustained trade above the pump line I highlighted this morning for most of the session.  If the bulls continue to hold on up here, the probability of an exploration higher becomes very high.  Grab ahold of something dear to you, and participate in capital appreciation, like a good citizen!  Then you can buy a house before they get too expensive.  Man up.

TOP PICK: TPX

http://youtu.be/OVpPR1pyfkA

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Often times we find a company or product we love and as traders and investors our minds instantly gravitate toward the ticker symbol to see where the company trades.  Other times we do research into an industry and find our favorites.  Then, we pull up the chart and find the stock is running hot.  If you’ve ever taken a hot momentum stock long the day before it starts correcting you know the feeling of a hot knife being thrust into your stomach.  So you toss the name on a watch list and go your merry way.

Such has been the fate of GNRC for many months in my trading software.  It has sat on my ‘stalking’ list sashaying higher.  After seeing the east coast get pummeled again I really wanted to buy.  Today’s selloff came at a perfect time for me, I had cash on hand so I bought.

I typically don’t buy red candles.  It’s too….Keith.  I can’t really explain it any other way.  I’m not a heavy lifter.  My transactions won’t stop a falling tape.  I like to buy in the presence of other buyers.  When I bought GNRC today, or when I buy a name like CREE the day it gaps up huge, I put on a smaller position because the setup isn’t my hon3y hole.  For GNRC I used a half position.  Here’s why, I have a larger risk:

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After scaling off a profit from my beast ANGI position today, I found myself in the precarious situation of having too much cash on hand.  The market is running very hot, yes.  My rally fever is perhaps matching the temperature of the market, sure.  These are the two caveats you must keep in mind while reading these musings.

Last week we talked about the nuclear trade.  iBankCoin noble Mr. Cain Thaler has been working the nuclear trade since Fukushima.  I really like MCT’s style.  He has incredible foresight when everyone else is running around with their heads on fire.  If you’re not reading everything he writes you’re doing yourself a great disservice.  He pounded the table on AWK two years back and I’m still holding this massive winner, collecting a nice coupon along the way.  See how I digress?

I love energy plays going in the State of the Union address tomorrow.  You know Obama is going to jawbone infrastructure and energy.  He likes nuclear and solar panels and all the other alternatives.  Position accordingly.  This is all subjective talk, mind you, by me.  I really just like charts.  You need to remember that.

In order to bring my cash back down below 10% I started new positions in GNRC and CCJ.  May the weather continue to be volatile and our energy infrastructure feeble.

I highlighted the levels that will make me rethink my stock exposure this morning.  The plan will continue to be amorphous like any good plan should be.  Grab some nuts from DMND and read along.

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I’m impressed with the roster of musicians I saw at last night’s Grammy awards.  I often get stuck in the mentality that the best music has already been made, and for many listeners’ ears that’s true.  But there’s always more in store in this short life.

Well here we are, mid-February, making new highs in the S&P.  As I’ve continually expressed during this up move, and perhaps the advice I’m trying to hammer into my own mind, is to not over think the trend.  Keep your picks simple, you want stocks that participate in the strength of the market.  I sashayed out of Goldman last week, why?  No reason.  Look at its chart, side-by-side with S&P, they’ve been mirror images this year, except GS is like the levered version, check it out:

Instead we should focus on key price levels that would tell us overall sentiment has changed and sellers have grabbed the reigns.  Taking to the market profile, let’s pay close attention to Friday’s session since it will provide the most immediate feedback as we progress through today.

Friday formed a tight letter P.  The P-shaped profile has appeared often this year, and as we’ve discussed it suggests a temporary phenomenon has occurred known as a short squeeze.  It suggests the sellers were forced out of their positions, but once they were forced to buy out no new orders entered the market.  In a downward trending market, this can be a good opportunity to short.  In an up trending market, we take the action with a grain of salt and look at other contextual pieces.  What was going on Friday?

There was strength in the morning and then the east coast was freaking out over some snow.  Perhaps that explains the benign action of Friday after lunch.  They all left.  Regardless, we need to see buyers hold off the single prints starting at 1511, if that level is lost, batten down the hatches and prepare for a rotation to 1508 then 1504.  If trading back to those levels doesn’t bother you, hold tight and consider the real fight to occur down at 1498.  That level is everything.  It’s bigger than the 1500 century mark.

Otherwise, if we continue higher keep playing your pumpers if you’re a momo guy and playing your event trades if you’re an event guy.  If you’re a value guy, do your thing player.  Get on the good foot!

http://youtu.be/1N5jY00z_Sk?t=20s

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Happy Chinese New Year ladies and gents, it has been a lovely weekend in Pure Michigan.  I’m certain Tim Allen would approve.  I hope you’re receiving me well in the Northeast, under thick blankets of snow.  That first day of sunshine after getting pummeled with snow, beautiful!  If you’re without energy, huddled over a barrel of burning trash, perhaps eating beans, and still receiving this message I’m impressed.  May I suggest procuring a generator from GNRC with your modest corporate bonus?

I don’t care to dig too far, but I’m fairly certain people from the Northeast hype up snow storms more than anyone in the world.  A news flash hit me Saturday while I passed a hotel television.  Apparently they’re naming winter storms now.  I haven’t watched a full news show in several years, and certainly don’t tune in to the weather channel.  I’m impressed many find the time to observe such television for hours, my how I’ve digressed.

It may be with good reason Nor’easters and Alberta Clippers strike terror into the hearts of these northern folk.  Your energy infrastructure is always getting beat to rags, likely because God hates your Facebook lifestyle.  If you intend to continue your immoral internet existance, you better take proactive and preventative measures to ensure your robot overlords remain powered up.

Obviously we need to benefit via stock market picks when people and governments step up their game to deal with the new era of volatile weather.  We discuss this play often, and I’m going to go back through the archives and find ways others have played or intend to play this weather phenomenon.

Note:  The crazy weather is really rather normal.  But we don’t care about that.  We want everyone to think it’s crazy and with the help of their administration find ways to overreact and buy stuff.  That way we can make money buying companies who stand to benefit the most.

Before I dig my way through the dim lit archives of iBC, let me toss my top two names in the hat:

CREE and GNCR

Anyone else who has a favorite play please chime in below.  Adieu

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It was definitely a busy week in the market as we churned through our range.  The important matter is we finally auctioned the 1500 level in an orderly fashion.  That was the action I have been looking for all week.  I had a chart all marked up and pretty, ready for the interwebs to digest when my internet went down this morning.

Instead I provided you a picture of my PC screen taken with my iPhone via Twitter.  So haggard, but I did what I could for MY PEOPLE (OOMPH!).  So haggard:

http://twitter.com/TwoSmuth/status/299882387297419265/photo/1

Other notable happenings this week: ZNGA isn’t dead yet and plans to get your children addicted to gambling.  This is all very bullish as can be seen in the huge run up today.  Seriously folks, I attribute the strength in Zynga shares today to a decent quarterly performance (nothing extraordinary), the online gambling jawboning, and the MASSIVE LNKD move.  That final bit of sentiment could be what kept a bid in most the social names today.  We also had a nice breakout in the nazzy, that buoyed things I’m sure.

Zynga was my trade of the week, and I must solemnly tip my hat to iBankCoin legend and southern gentleman RaginCajun for trading side-by-side with me on this name.

I had to dump ANR today.  The stock has exceptional February seasonality statistics in The PPT, a high short float, and is part of an industry that was flagged by my seasonality trend work at the beginning of this month.  It can be frustrating to put a ton of research into a name, definitively have an edge, and still wind up on the losing end.  But believe me, it happens more than traders like to admit.  Knowing your risk going into the trade makes the decision to cut your well thought out trade when it doesn’t work simple.

Other times you just pull up a chart, it looks ace, you buy it, and it’s a ten-bagger.  So take the good with the bad.

I had a great week of trading here in the hallowed halls of iBankCoin.  My days as a tabber may be numbered, but I’m going to make sure and enjoy every minute I’m here.  You only live once and this is the best 15 minutes of fame Raul3 could ask for.

Have a great weekend.  I’ll be checking in with any internet foolishness or insights I have over the weekend.

http://youtu.be/GR8jOJZERhs

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