Instead of banking big bucks on dicey Chinese solar burrito stocks, the market is ripping out the spines of speculators, then spitting them down idle drain pipes.
We have a scenario where leverage needs to unwind. It needs to unwind at the long/short hedge funds, who have a long bias. It needs to unwind at life insurance companies, who have regulated stop losses in place. And finally, leverage needs to be taken away from the investments banks, else they will taste pavement.
With every market crisis opportunities present itself. The trillion dollar question is: Are we low enough to start buying?
In my opinion, without doubt, the answer is no.
Considering the carnage in foreign markets, coupled with the massive economic problems at home, I suggest waiting to see some earnings reports, before stepping into the markets.
The last thing you want to do is start bargain shopping, ahead of some abysmal earnings reports.
Be patient you dumb fucker.
With my money, I will use any strength to sell more [[DECK]] and buy more [[DUG]].
In regards to crude, I believe we are on the other side of the mountain and can see much lower prices.
Finally, if you’re long, take a deep breath and relax; then start selling like an over caffeinated margin clerk— at an over leveraged firm.If you enjoy the content at iBankCoin, please follow us on Twitter