iBankCoin
18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.
Joined Nov 10, 2007
23,433 Blog Posts

The Holiday’s Are Not Going to be Good for Everyone

Art Cashin wouldn’t be happy if the market fell 5,000 points today. That old bastard is one big fucktard. I don’t care if he’s been trading since the great depression; there has never been a market as bad as this—sans Japan circa 2008.

All of you chart chomping motherfuckers must be BESIDES yourselves, as the imaginary levels you built up for yourself fail and fail again. On the other hand, men with very high IQ’s, such as myself, game this market as if they were selling crack cocaine in the back of the White House (I have no idea what that meant).

With my money, I intend to cover my hedges today. I have a hunch; therefore I am going with it.

Going back to my “rich mans advice” post:

Half of my money is in bearish instruments. I will cover all of my shorts and sell my inverse etf’s at once, leaving the proceeds in cash. Doing this will put my cash position at around 57%, with another 43% long, specifically in commodities.

With the cash, I will start buying on dips, in increments, leaving no more than 25% in money markets.

More on this later.

UPDATE: I sold all of my [[SKF]] . With the proceeds, I bought [[DIG]] , [[ROM]] , National-Oilwell Varco, Inc. [[NOV]] and The Mosaic Company [[MOS]] . Presently, I have more than 40% in cash.

UPDATE II: I bought 100,000 [[UYG]] @ $8.12.

UPDATE III: Buying 1,000 share blocks of [[EEM]] , starting from 19.45.

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68 comments

  1. Steph

    Ah man, they’re not going to trot out Art Cashin again with his “retest the lows” rhetoric?

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  2. aae

    You know who is fucked the brazilian consumer, you go to the shopping malls in that country and they sell everything by credit. I mean EVERYTHING!!! purses, shoes, clothes, tech they are all on credit, its so bad they only show one price the monthly payment you have to make, ie. 30R$ and then it says really small x8 so 8 payments of 30 reais. The currency is fucked, banco do brasil is fucked, I wonder if Warren Buffet is still holding his position on the reai, I know he started it around april-may so probably around 1.7-1.8 getting his old ass prison raped.

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  3. Steph

    As predicted, “I’d like to see the washout”. Once again, we had the washout on October 10, we’ve been backing and filling since then.

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  4. sniper6

    The holidays WILL be good for everyone, as the “happy face holiday fun police” will be hittin’ the streets to actively enforce “good holiday” rules. There will be zero tolerance for substandard holiday recreation, as per congressional mandate. Cheers, everyone!

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  5. Surely you jest

    Steph if you think we will escape unscathed from this, imho you’re dreaming. We havent seem capitulation yet. Not even close, just some rolling panics so far.

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  6. Grandpa

    Donny’s DUG does him proud again. Congrats Dude!

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  7. National Shower Shitter Day
    National Shower Shitter Day

    C’mon everybody! Let’s shit the shower and get this over with!

    Last Monday in Oct: National Shower Shitter Day!

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  8. Donny

    Donny sells DUG @ 54.87

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  9. Grandpa

    Donny, is the DIG train a comin? Whew Whew!

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  10. CAP

    LOL National Shit the Shower Day.

    “From October 10th forward, SPY has lost 8.46 points during overnight trade and, during the day session, has actually gained 4.8 points.”

    This is quite bullish for the markets.

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  11. Donny

    Donny buys (Small position) DIG @ 26.67

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  12. Ol' Jack Burton

    Huge bearish sentiment + End of month Window Dressing + Rate Cut = Higher (for now).

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  13. Topper Harley

    Art Cashin is a bonafide asshat

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  14. j

    Fly

    Nov is trading like Tyson boxed his youth.

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  15. Ass Napkin Mike

    EEV to 300 by the end of the year.

    SHLD to 20 by the end of the year.

    There you go. You can tell your friends that even an “ass napkin” can make money in this market.

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  16. MV

    Bennet Sedacca

    09:37:15 AM

    Position in every bank on Earth

    TARP–the Sequel

    While the TARP is stopping the list of ‘Dead Banks Walking’ to Wounded Banks Crawling, I don’t think it is the cure-all.

    While many are jumping to the conclusion that they should run out and buy bank debt of the ones that should have been allowed to fail in a non-Socialistic world, it doesn’t mean that they will survive without further injections of capital. I think there will be Tarp II, III, IV, the sequels or these banks will eventually go away or me merged at a very low price.

    It is clear that Paulson and Company could give a hoot about existing shareholders. They care about systemic risk and bond holders.

    But if General Motors (GM), Ford (F) and Chrysler can’t make it without intervention as I suspect, the Midwest banks won’t make it as they are exposed big time to the Big 3 as well as real estate loans in Florida, Arizona and Nevada (National City (NCC), Keycorp (KEY), Fifth Third (FITB), Regions Financial (RF), Marshall & Ilsley (MI), etc.).

    Considering that I expect double digit unemployment rates in 2009, this is just one big Band-Aid, and frankly, a waste of my hard earned money.

    I am so glad to be long the list I identified in Dead Banks Walking that I thought wouldn’t make it.

    Thanks, Big Brother.

    Todd Harrison

    09:16:59 AM

    No positions in stocks mentioned.

    Morning Dew

    * As the 2008 lows are tested near the opening, remember that a layer of demand is absorbed with each subsequent probe.

    * Also understand that the entire world is watching that level, so if you’re using it for risk definition, you might want to draw the line with a crayon rather than a pencil.

    * Lest you didn’t hear, banks borrowed record amounts from the Fed’s emergency lending facility last week.

    * Foreclosures were up 71% year-over-year. While that’s bad news for many—and nobody wants to profit on other people’s pain—it provides an opportunity for some to pick up property on the cheap.

    * While I pared risk into Friday’s close, I’m happy to take tight, disciplined shots during the trading day. That included SSO and QLD on Friday (both of which were bought on the open and trailed higher before being booked) and some DXO (which is a bit thin for me but I’ve got a small position).

    * With regard to gold, I’m happy to nibble near $700 for a trade but I will use $680 (Friday’s low) as defined risk.

    * Why? Check out the long-term chart of gold. I understand it’s a fiat currency world but deflation, if it is to continue, knows no allies on an absolute price basis.

    * The S&P is 35% below the 50-day moving average. Since 1928, that occurred five times and the index was higher fifty days later each time, according to Bespoke Investment Group.

    * I read over the weekend that “over-writes” (selling calls against stock) is a very smart strategy. What they failed to mention is that the risk profile is precisely the same as selling a naked synthetic put option.

    * While the Raiders leave a lot to be desired, the down time in Baltimore—including getting beat by my 8-year old nephew in Texas Hold ‘Em—was just what the doctor ordered. Seeing those rascals is good for the soul.

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  17. ALLPROz

    Donny and Grandpa the same person?

    Good trade on DUG anyway Donny….make a living focusing on those two tickers alone and keep it simple….block out all others….

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  18. Thunderpup

    Hahaha. Buffett losing his ass on the Real, didn’t know that.

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  19. Bill Miller

    Swanson turkey TV dinners this season?

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  20. Big Mike

    Senor Tropicana…Try UYM…Carter Worth recommended that @25…Now at @16;

    WAS $120 back in June…no stock splits mind you…

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  21. Mr. EB

    Another awful open for me (down 3% near open on my portfolio), hopefully we get the rally intra-day like the last 2 days.

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  22. Mr. EB

    I added more long exposure near open.

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  23. Thunderpup,

    Why do you delight in the misfortunes of others?

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  24. Misforunate billionaires?? What a concept.

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  25. Grandpa

    ALLPROz
    No, but with the Market being what it is DIG and DUG seem to be more predictable than most stocks. Donny is driving the train, I’m just a passenger.

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  26. Mr. EB

    I just turned green. It took only 37 minutes today vs. a few hours on Thursday and Friday.

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  27. Mr. EB

    Burritos (CMG.B) are saving my butt.

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  28. Mr. EB

    Welcome to the Alliance FLY. USA! USA! USA!

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  29. Thunderpup

    First of all, Buffett is not having misfortune. His Real position is very small relative to everything else. Buffett however, has gone public with various pronouncements and predictions that are annoying to me, especially over the past couple years – so seeing a public failure is satisfying to me.

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  30. Ray Ray

    Stable housing data released…I present to you Masco (MAS), maker of house paint and faucets.

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  31. Eye No Stuff

    My holidays are going to be great ! Any day now I expect a government employee to drop by my house, set up my lights and wreaths, give me a XMas tree, decorate the tree, populate it with presents for my children, and give me confirmation that they’ll be back to fix XMas dinner. Those fuckers will be starting the holiday season early this year. They need to visit every American’s home. It’ll be the Obama US Government Holiday Season Bailout plan.

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  32. Mr. EB

    What’s the smell? I smell short squeeze. Lots of consumer retail stocks including CMG.B super strong this morning, which is a good sign for a big short squeeze.

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  33. CAP

    May we all be as lucky as Warren Buffett. To lose a few hundred million on a currency position and think nothing of it.

    Market action today is quite positive. Another ‘fuck you, you’re dead’ open turns green.

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  34. The Fly

    Buffett is a douche bag.

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  35. Margin Clerk

    When shall I rear my ugly head?

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  36. j

    actually the market is really doing well. Even fridays action was okay considering what happened elsewhere.

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  37. T MOE

    Once again the oils lead the rally back. The big oils were down a good bit earlier and are now fighting to go positive. This may be a good sign for the service companies today

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  38. The Fly

    I am buying stocks as if I was trading with counterfeit money.

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  39. TraderCaddy

    Sometimes the Good Lord makes junk and in this case he made UYG.
    Stay away from this piece of garbage.

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  40. ALLPROz

    Prefer XLF

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  41. T MOE

    None of these moves mean shit until the last hour and a half.

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  42. Thunderpup

    I am buying stocks as if I was trading with counterfeit money.

    Bold move. Not sure I’m convinced yet. Any specific reason?

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  43. TraderCaddy

    Yes. I stick with XLF and trade KRE etf if it outperforms which it does quite a bit.

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  44. SteelMaker

    Fly what do you think of X ? Entry before earnings or after.

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  45. ALLPROz

    Retail AND Builders showing promise on same day….need both for sustainable rally….and of course the “big nine” banks…

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  46. The Fly

    Thunder:

    Because I really am trading with counterfeit money!

    Developing…

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  47. Grandpa

    On a 5 min chart DUG is making a move on todays high, if that fails DIG looks too good to pass up.

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  48. ALLPROz

    Fly,

    You still have CLNE in your long term portfolio? That stinker getting killed in an egregious manner.

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  49. Markt Fool

    Art Cashin farts dust.

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  50. Thunderpup

    Fly-

    Ah! Didn’t know you used the Euro.

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  51. Pete

    Once again CF outperforms MOS. Up more on up days…down less on down days.

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  52. Thunderpup

    My EDU short starting to roll. Die you fake piece of crap!

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  53. sniper6

    Steel- Cramer recommended X last night. You do the math

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  54. The Fly

    Pete:

    I own CF. It may be outperforming now; but it’s not a better company.

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  55. wilmer

    You’re such a spazz.

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  56. Snoop Dogg Dwyer

    Minyanville Staff

    10:13:16 AM

    No positions in stocks mentioned.

    Vibes from Minyan Tony “Snoop” Dwyer of FTN Midwest
    On Friday, I talked about “dipping our toe back into the water” because the economic environment was/is so bad and the global financial markets were/are so weak that it WOULD/WILL command a major policy response – domestically and globally. The global economy is not slowing, it is SHUT DOWN, and again I repeat SHUT DOWN. Even the largest and best global companies in the world are having difficulty obtaining overnight financing and that is clearly not something that can last. Again, on Friday, when the equity market futures were limit down, I talked about a small degree of buying into the opening limit down futures, and that is my plan today and until a sharp oversold rally takes place – add small into each major “whoosh.”

    My initial “toe dipping” was predicated on a guess that the extreme weakness would:

    1) Get my trusty 14-week stochastic to an extreme oversold level. All indications suggest that the indicator should be at an appropriate level that suggests buying (even if early) because anything lost should be made up very quickly on a snapback.

    2) Prompt a massive coordinated rate cut predominantly focused with the ECB. They will do this sooner or later and the extreme nature of the global economic shutdown will command it sooner. Again this is a guess since apparently they remained focused on inflationary pressures. To use an analogy, it is like standing in your driveway holding a garden hose and watching your doormat burn. You know the doormat fire will soon spread to the door, which is sure to spread to the first floor and ultimately consume the whole house. You stand there with your hose and don’t put out the fire on the doormat because the town told you that you can’t use water on that day. It might just be time for the ECB to ignore the town rule in an emergency.

    The good news is that there are ten toes and today I’d like to put in the second one. It also must be said that this call REMAINS for traders only and those that can be nimble. Climactic declines retest (and many times) break what looks like “the” low, so investors should very likely have an opportunity to buy again at today’s prices. My tactical plan is to buy into dramatic declines given the extreme nature of the global equity market collapse.

    The snapback rally should be focused in those areas hurt the most and that includes the former global growth decoupling theme – Energy, Materials and Industrials. The expected bounce should be sharp and temporary, especially in those sectors. I’ll look to become more sustainably and fundamentally positive when (1) the equity markets retest their lows (once made) between 1-3 months from now, and (2) the credit markets have shown dramatic improvement. At this point, the equity markets have NOT even reached their initial low and the corporate spreads have NEVER been wider, so I’ll remain VERY patient buyers.

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  57. hk.slanteyes

    buy, buy, buy,
    war or famine
    love the smell of napalm in the morning

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  58. Carey

    Omg fucking cramer , i am Long X too.

    Now that he recommends it, i want to get out of the way

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  59. The Fly

    Potential bottom fishing, via The PPT:

    Highest rated stocks in beaten down sectors:

    XOM 3.2
    COP 2.96
    CVX 2.96
    ARG 3.05
    NUE 3.17
    TS 3.13
    STLD 3.08
    IIIN 3.02
    CLF 3.01
    GGB 2.98
    PKX 2.97
    AKS 2.94
    MT 2.93
    RTP 2.93
    TEX 2.97
    MTW 2.93
    BUCY 2.91
    AG 2.79
    PCP 3.04
    GHM 3
    RS 2.9
    VMI 2.86
    LUFK 3.08
    BHI 3.02
    NGS 3.02
    HLX 2.98
    PDS 2.98
    SII 2.91
    DWSN 2.9
    CAM 2.89
    DRQ 2.85
    NOV 2.82

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  60. DannyBoy

    MCO (worse company ever) below $19. $0.01 here we come!

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  61. DEVILDOG

    Fly and Mr. EB are idiots. Odd no?

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  62. 4fl3x

    How about some LVS for a bounce? Some of this shit is just ridiculous.

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  63. Pete

    Thanks, Fly. I have been wanting to hear your thoughts on CF for a while now. Curious…why do you think MOS is better situated than CF?

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  64. Ass Napkin Mike

    Anyone know here I can find Citadels top positions?

    Thanks

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  65. wtf?

    this market is a clusterfuck.

    however fcx looks good here.

    they probably buying back their own stock here under their buyback program. (they bought a bunch in the 70’s too.)

    recently raised dividend…7% or so now.

    fly, what does the ppt score it?

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  66. Ass Napkin Mike

    Bottom fish? Are you kidding? The markets will continue to bleed all week other than the little bump they will get when the world cuts rates. Other than that, there is no reason to buy.

    One up day out of five this week—doesnt chubb me up.

    Stay short until May (ish) of 2009.

    This spookey “oh no short squeeze” is all bullshit. Even if we get an up day it will be sold like crazy, so you are OK staying short. However, if you are long, do you really think the market is bottoming and you can hold long positions over the next 6 months or so?

    No fucking way. The game plan is still the same as it has been. Just stay short and walk away. The global economies are fucked and not getting better soon.

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  67. derr

    j, if things are doing well despite what’s going on, does that mean things “aren’t priced in” as they should be?
    Kind of how the market wouldn’t blink despite bad news on it’s way to 14,000 and it eventually went where it was supposed to?

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  68. Thunderpup

    NOV ready to break out?

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