The robots are broken. We rallied about 6% inside of 30 minutes today. Soon enough, the HFT fucktard bots are gonna go rogue (No Palin) and bid up the market until the average balance of a short sellers account is negative $1,000,000,000, which incidentally would wipe out the entire banking system altogether. Irony.
Because of the coiled back nature of this market, absent any good news, the possibility for a spectacular single day rally is present. I am not talking about your average, run of the mill, regular shmuck from 0hio trying out finance for a few years type of run. No. I would like to see gold drop $1,000 in a single day at the same time stocks rally 10,000 points, just to shut Jim Rogers and Peter Schiff up–once and for all. The very idea of gold makes me sick.
Many of you are scared because you are weak. “The Fly” is a golden falcon, breaking the necks of migrating birds for sport.
Today over 500 stocks gapped higher by 10% or more. That’s ridiculous. 99% of those gains occurred in the final hour of trade. It’s not possible for this to occur, unless the buying was automated by some magical genie in a server rack. If you are short stocks here or long FAZ, you stand the chance to go from up nicely to negative $1 billion within minutes.
I remain short EXH for sport and will liquidate new longs into strength.
NOTE: H/t to TysonandOne in 12631 for putting my SHOMP on paper.
that shits gangsta
This kind of fuckery happened on a daily basis in the spring of 2009. Don’t you folks remember those ridiculous 2% moves in the final “seconds” of the day? Yesterday’s 7% move in the IWM was truly sick.
99% chance of your WNR going higher.
I took 50 viagra pills. You tell me.
sire your wnr is forthright – let it hang
Fly, do you recommend 50? Because I took one once and it did nothing!
That’s because you wiener is totally useless.
Nice call yesterday. how much have you lost onWNR?
I took off my shorts and now have WNR exposure.
Classic.
The Fly…you are like fine wine, your posts keep getting better and better with age (no HOMO).
I made some preparations in the AM, and stuck with them through the close. I was not going to ignore the gold lame, gilded letter Fly gifted us with.
I just wish I had the cahones to deploy more cash long this AM. I stand agape at those last 30 mins.
I love it when the servers are blowing wind in the sail, just got to keep one’s eye out so the boom doesn’t hit you in the face if the HFT wind changes direction.
I stand at only 30% long. Still a great day, but simply not good enough, a ‘falling behind the averages’ day.
At least I didn’t get my dick chopped off.
I will admit I’m a bit concerned, with the Italy/German/eurotrash news after the bell that my celebrations today could become my cement feet tomorrow… Better get a good rest and keep a sledgehammer handy.
I am sooo glad I sold my TZA this morning.. WHEW!!
Who said this late this afternoon??? ….hmmmmm
And here come the collapse.
Apropos
Excuse mister Fly, but are you telling me that my TZA puts/ TNA calls from this morning that already doubled today.. is going to make me even more of a millionaire tomorrow?
Impressive PPT chart
The Cramer bottom?
He does not have to apologize yet!
Oh, so that’s where my students get their dress code, lol. I could only make out two words in that video – fuck and nigga – how do these guys make money with music like that?
http://ibankcoin.com/flyblog/2011/10/03/an-unbelievable-bottom-approaches/#comment-245484
“Today’s late day rally does not alter our count. In fact it helped us with some detail of the recent decline from SPX 1196 to 1075. And, we just posted our findings on the SPX hourly chart. It appears this decline, Intermediate wave iii, has been dividing into five Minor waves. We knew that all along but were waiting for the market to provide some additional detail. The divisions: Minor 1 SPX 1150, Minor 2 SPX 1176, Minor 3 SPX 1075, and Minor 4 underway now. After this rally concludes the SPX should head back down to make lower downtrend lows for Intermediate wave iii. What would throw this Minor wave count off would be if the SPX rallied over 1150 before making those lows.
Short term support is at the 1107 and 1090 pivots, with overhead resistance in the mid-1120?s and the 1136/1146 pivots. Short term momentum is approaching overbought.”
That from Tony’s OEW post after todays’ close:
http://caldaro.wordpress.com/2011/10/04/tuesday-update-304/
I thought Moody pissed on the Co-Cain rally. I really could use a higher open. Really. I need to raise cash from all the longs I got so my nuts are off the gillotine table in the event that we repeat august then I will let the rest of the longs go full blown Viagra to the upside like I had Rick Ross money at ricks caberet.
Dr. Fly,
Great stuff. Your daily market commentary are helping us(I should say myself) more than you will ever know.
Thank You.
The Fly is a self-hating falcon?
do you mean 10k in one day?
Of course not.
You know what they always say about 0hio…
If you can make it there… You can make it anywhere!
10,000 point rally sounds delightful. I wonder if TNA would trade negative during such a fierce rally.
Don’t u mean TZA?
nope
These ETFs can trade strangely. The worst one ever was UNG the natural gas ETF. There have been times when the underlying commodity skyrocketed but the ETF traded down. The companies that offer the ETFs are allowed to do strange things with them.
Ive read every article uve written since 2009 (seriously) and this was the funniest, best one, ever. Loved it, kiu
Gold up tonight.
Protec’ ya neck.
___________
Still a bearshitter. This is the way it goes. Bear markets, sharp, ruthless, quick rallys.
Got lucky and sold TYP before 3pm monster. Saw it moving fast, holding 1/3 short.
Could have stayed short however because I know the ultimate destination is sub-666 🙂
It is going to be fun, either way…I am still in my Faz Mobile for the long run. So far Eur/USD not as giddy as the bots had it at the US Session Close. In the Nymph’s world, this was just a classic retest of the 50% level of the 2007/2009 move but as resistance and not support. Or just keeping with the Chaa Chaa theme of this week as we go between 1120, 1090 and finally 1020.
Do a long term copmparison of FAZ & FAS – you will see both are down. FAZ is not a long term trading instrument.
I know, but its a way that I can short the financials without having unlimited risk. Learning how the market moves takes priority over short term gains…right now I am reading thru Service PMI’s coming out of europe tonight and the miss on the UK GDP.Trying to decide if BoE and ECB are going to do anything when they meet on Thursday?
You’re also subjecting yourself to huge amounts of decay inherent to these instruments.. pissing your money away.. why not look into LEAP’s, selling options, or other more sensible ways of sticking to your permabear thesis rather than sticking to the FAZ mobile like bug on the windshield
Bug on windshield of FAZmobile = hilarious visual
LOL
I guess the days of investing are long gone on Wall St.
From now on it’s BUY when we get the Red line at the bottom and SELL when it gets to red line on the top.
Curious to see how many retailer monkeys will still be in the game 5 years from now if continue trading on “hybrid scores” instead of real fundies.
I am sure it will look something like Star Wars where the “space machines” battle one another for a few pennies a trade.
LOL…What a joke.
The markets gyrate seemingly randomly, or “rigged” or “fixed” day to day, trading within clearly defined ranges other times… but come on, over a longer period of time (say 5 years), the markets continue to get it mostly right. The inefficiencies of the market are where you can profit if you prefer the longer-term approach. Many ways to play, many ways to win.
And your proclamation about “retailer monkeys” still being in the game… Lottery tickets are still popular, casinos are still popular, sports betting is still popular. These are all negative EV games for all but a few (yes, if you’re smart enough you can even figure out when the lottery is positive EV) Why on earth should we “retailer monkeys” shun this form of gambling over others?
Most of the effort in developed nations these days go into figuring out which “retailer monkeys” are deserving of cash and therefore the voting power of what gets produced in society… we’ve figured out how to grow food and build shelter and maintain our bodies (although most choose not to do so). “Working” is simply proving to society that you are capable of behaving in a reasonable and predictable manner… don’t think for a second unless you are a farmer or doctor that your services are needed.
This commentary of mine is timely and relevant.
57.5 is the new 47.5
http://www.marketwatch.com/story/why-geezers-give-the-best-investment-advice-2011-10-05
57.5? cool, I’m respectable again! I’ve been avoiding flights of stairs around here for years, now…
The software is going to say this rally is spineless. Today, I think.
You probably still need to avoid the manholes though.
Let me know when somewhere above 57.5 is cool.