Got My 40, Thanks

I lost a little today because of FSLR. But that’s okay because the market will trade up another 40 tomorrow. Since the new year began, I’ve been bankrolling millions while having less than aggressive exposure to stocks. The moves have been powerful and it is making me a believer. It’s not just the fact that stocks are trading up; I am not naive. European bond auctions are going swimmingly and yields have dropped. From my vantage point, the ball is in our court and we’re in an election year.

Placate the masses and afflict pain onto others is the motto. Watch out Iran. Before the year is out, they will likely park some tomahawks for Obama inside of their palatial gardens.

Here are the facts:

Economic data is improving and BAC isn’t going out of business. It’s a start, no?

Some German official is trying to cut subsidies on solar using a monthly schedule, as opposed to the current bi-annual. The result is absolute elevator cord snap trading action in solar stocks, including FSLR. I knew going in there were two sides to the sword. Yesterday the stock was going Donkey Kong, throwing barrels at the shorts below. Today, it’s getting mudstomped. It is the life of a speculator; live with it or quit.

With today’s additions of both SFLY and SODA to the old portfolio, it’s official: I have compiled an all-star list of companies, most hated by short sellers, almost on a universal scale. Why have I opted for this obtuse course of action, in light of today’s solar meltdown, is beyond me. Nevertheless, the market is in the punishing mood, so I gather we can proceed to check the shorts with a hockey stick like rally for a few more days.

Back to FSLR: I will not buy more. It will either rebound from here or trade lower and force me to cut losses.

My cash position is now around 20%.

I added to my MWW position and started new ones in SODA and SFLY.

Disclaimer: If you buy these stocks because of this post, the next time you are in a calash it will fall victim to an errant boulder and fall off a cliff. And, you may lose money.

Sold it out for 15% loss.

2011 was so 19 days ago. The idea that we will trade down because of European debt or a staggered US recovery is simply wrong. Do you want to know why it’s wrong?

Answer: because it’s not 2011.

Back in the destitute days of 2011, investment managers lamented over balance sheets and overwhelming debt burdens. Now they just look at that shit and eat potato chips. They can’t hear the shorts anymore because the chips are crunching loudly in their ears. People are eating pickles and playing with ham sandwiches. Life is good again and the shorts are on the run, scared to death of serial killers stalking them for their skin.

Everything goes up. Whether we are talking housing or NFLX, investors want a piece of that action. Semis and fiber stocks are stabbing short sellers in the face, whilst snorting loooooooong lines of uncut cocaine. Obama has it going on and will be elected for another illustrious term, effectively decapitating the GOP into an austere faggot box (no offense to guy guys of course).

As for me, I am interested in DMND because it’s nuts. So the company is running a fucking walnut mafia, what are you going to do about it? Exactly. It’s not like they have exposure to some sort of fucked up Walnut-Peacan derivative trade gone nuclear. They will simply whack a few people, pay off some bribes and the stock will rally. I’m also long FSLR because Europe is back and so is Obama.

Ladies and Gents, it’s time to forget about the year of 2011 and embrace the essence that is 2012, which is winship.

Chessnwine has been alerting people to the meteoric rise in housing stocks as of late. A few weeks ago, I successfully traded out of BZH. For months now, these stocks have been leading the market higher–to the dismay and illustrious detriment of “professional short sellers.” As a matter of fact, many housing related stocks are making new 52 week highs, with nothing but fresh, clean, leprechaun air in front of them. Their shareholder bases have been rebuilt from the ruinous catastrophes that followed the great housing collapse of 2007.

This trend is not only helping construction companies like TOL, LEN and NVR; but it’s also lifting the prospects of derivative housing plays, like LOW, PIR, PATK and USG.

Inside of The PPT, I put together a very comprehensive housing resurgence watchlist to monitor this phenomenon. Keep in mind, all of this is based upon expectations and not reality, as new builds remain at absurd levels. As a matter of fact, housing starts are at their lowest levels since World War II. But that’s not necessarily a bad thing. Accordingly, the firms that exist today and profit in such an onerous environment are built to win and win big should the housing market rise from the ashes.

Here is a snapshot of the biggest housing related winners, year to date, courtesy of The PPT. Pay attention to this very carefully, for it may be a super trend in its nascency.

(note: the entire list consists of 66 names)

Seeing titles like that, degenerate in nature and style, makes me laugh. But it’s 100% factual that I have indeud “gone monster” (NO METROSEXUAL) through buying MWW. It’s a cheap stock and—seemingly—everyone is going to make a hostile bid for them. It’s one of those names that gets lost in the deck, until it’s hitting 52 week highs and urinating on your face.

The earnings are due to come out on 1/26. I am not expecting great things. As a matter of fact, I think the company sucks balls. However, the stock price–historically–is tightly tethered to the US unemployment index. By hook or crook, I expect the US unemployment rate to downtick, which should offer tinder for MWW to fire higher. Priced under $10 per share, I feel my downside is extremely limited, while my upside is anywhere from $3 to $10 per share–based upon the laws of science and mathematics.

Moving on. I sold out of MTW to make room for MWW. I simply removed a T from the portfolio and added another W. Also, I wanted to keep my cash position pegged at about 35%, where it stands now following my earlier purchase of DMND.

It appears David Einhorn started a position in XRX and DELL, while covering shorts in FSLR and DMND. Incidentally, I am long both FSLR and DMND. I don’t quite get the XRX purchase. However, he seems to know his value plays and will be giving it a closer look.

If there is a God, the market will trade lower, in order to give me a chance to buy dips. Sadly, it appears God is as real as a healthy donut or gentleman McDonald’s aficionado.

Back to work.

I booked profits on MTW.

I averaged down on DMND.

After one of my servants in the comments section alerted me to SOPA, I did a little research and, much to your chagrin, have pledged solidarity with our lowly government. This may come as a surprise to many of you, since I run and operate one of the more successful and popular finance blogs in the world. However, the fact remains, vagrants must be put in their places.

What does that mean (chin scratcher)?

It means the majority of the bloggers and content providers should fall under the government auspices (hammer) and perhaps be arrested, for crimes against the republic. Remember, in a post 9/11 world, our clam-shuckers in DC cannot afford to let you have freedom. There are terrorists everywhere and pirates cannot enjoy the luxuries of internet access, like tax avoiding, insider trading government representatives. The internet “kill switch” will be used and many of you shall be detained for hate speech.

How is that just?

Quit thinking about things in black and white. This is a gray area, Sir, where fat chinned lawyers dictate the will of the American people through the proxy of the law. As a gentlemen of this republic and active member of Gentlemen Against Plebs (GAP), I’d like to see many of my competitors shut the fuck down, via government laser beam aka kill switch.

In other news, the market doesn’t want to go down; it’s honey badgering higher and there is nothing you or your stupid friends can do about it. We can all hope and pray for stocks to fall, basing our dreams on inevitability. Look at the fucking Mayans; apparently, their calendar ends this year–which can only mean one thing: the man who made the calendar died when he was mapping out 2012.

These messages are all very convoluted and prolixity seems to plague this blog post with unparalleled eloquence– but know this: “The Fly” drinks tea with the Gods and converses with shadows near his favorite urinal. The secrets of the world–as well as the market–are revealed to him in dreams and delivered here in riddles for all of you to decipher.

The bottom line: I like FSLR.