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
23,473 Blog Posts

Perhaps We Will Never Go Down

But then again, after QE1 ended we fell by 16%. After QE2 ended, we fell by 19%. Are you feeling lucky, punk?

Is it just me, or does this have the feel, the aroma, of a blow off top? Why on God’s green earth was FUEL up so much today? How in the hell did Option Addict know that LULU and WB would explode today?

All of these questions, AND MORE, must be answered soon.

I am sitting here in God damned treasuries, as rates trickle higher–ever so slowly. My utilities are flat and my long term stuff is working. I am +131% in FB, +66% in AAPL, +35% in WM, +33% in KMB, +29% in CHD, +22% in GILD, +21% in YELP, +21% in JAZZ, +21% in PANW and +20% in SLCA–just to name a few. Even dogs like GOGO have resurged, making me profitable once again.

This is a celebration of greatness and I want to have my share. I’ve been stuck on the idea that “this is 2000” and that is why I’ve elected this milquetoast approach to the markets. Perhaps I will be proven correct. However, as that process unfolds, I am missing out on opportunity, a cardinal sin for a fast money maven, such as myself.

https://www.youtube.com/watch?v=rdvsYgmZ_DU

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30 comments

  1. gappingandyapping

    Don’t forget $FEYE ripping tits higher

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  2. operator1

    “perhaps we will never go down” has been the ruin of many a portfolio.

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  3. jon v

    Looks like a rotation to me. Most China stocks have been getting hit in front of the Alibaba IPO. European stocks were getting hit hard and are now rallying hard (see FIATY, VE). The economy seems to continue to improve and valuations aren’t outlandish. Q3 earnings are expecting to be around $30 which is a run rate of $120. That means the market is trading at 16.6 times earnings which isn’t outlandish.

    You always get some pockets of high valuations like you see in some tech / alt energy areas but on the whole there is still a lot of value in big and small caps. Companies like GM, PIR, SNE, SB, NM, BALT, AFL, DE, and a whole host of others are pretty reasonably priced.

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  4. BlueStar

    You will be rewarded mightily…..or its a blow off top.

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  5. pelicansbrief

    Time frame a la circa late ’99/ early ’00. You’re a tad (12-15) months premature….Nevertheless, it’s a comin’…

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  6. clegger_2000

    Three seats for Icahn on HTZ.

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  7. typebtrading

    @Fly, I think your opinion on the market will be realized at some point soon, I also think this is the pressure point that draws the bulls back in, “for just one more hit”. If you miss this party, there will always be another. Are you looking for a 2011 type correction? Here is my action plan for the relinquishing of QE junk from my body. https://www.youtube.com/watch?v=pm4fsi6OvFI

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  8. one-eighty

    The US dollar is screaming higher so holders of other currencies are trying to climb on the life boat.

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  9. it is showtime

    Love it:

    Really…? You now have the Increasing demographic problem bears said you would have… Yet the acclaim for a new Extended Glorious Impeccable bull

    In the same sense, that bears have looked Insane for quite awhile, that characterization is going to start slowly shifting to bulls.

    but I continue to repeat/believe it is not bulls moving the mrkt. it is whoever has control of it. which someone does (last18-24mos specifically)

    http://www.orlandosentinel.com/features/gone-viral/os-half-americans-single-20140910,0,7526414.post
    DATA: SINGLE AMERICANS MAKE UP MORE THAN HALF THE POPULATION

    Bureau of Labor Statistics classified 50.2 percent of Americans — or 214.6 million people — as single in its monthly job-market report for August

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  10. jon v

    everyone is still scared / skeptical. when you start hearing stories about joe schmo from the office or a brother in law etc retiring because his stocks went thru the roof then we’re in the euphoria phase. we may be a long ways off from then.

    remember in 99 everyone was either trading stocks or starting an internet site. in 06-07 everyone was flipping homes. right now people are just worried about another crash and are being conservative. how many people on these boards are calling this the blow off top phase? we may get a 10 to 20% correction here within the next year or so which will probably only set the stage for higher prices

    next time you go on a flight cross country with TVs walk to the back and count how many people are watching CNBC. i bet its less than 5 people

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  11. ho_chi_min

    CNBC is at its all time lowest viewership … The machines will push the market higher until a 90% freefall crash will merk this world

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  12. bchu12

    WTH just happened to futures? All indices opened gap down. any reason for this?

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  13. traderconfessions

    When you least expect it and with maximum pain inflicted… that’s when it will happen.

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  14. typebtrading

    The S&P has been up every month for the last 22 months in a row. Every month. I am a bull, and think we are heading to DOW 20K in 2015. But a six month washout type correction would be a great BO.

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  15. Jesse Livermore's Ghost
    Jesse Livermore's Ghost

    Prediction: BABA will trade up to $90-100 on the first day of IPO. Book it.

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  16. Jesse Livermore's Ghost
    Jesse Livermore's Ghost

    The sooner you numbskulls realize we are in a massive secular bull market, the sooner you will start to reap massive profits like I am on my SPY calls and TQQQ.

    And to the gloom and doom, dollar is worthless, hyperinflation, buy gold/miners idiots – how does it feel to be wrong for 3 years in a row? Lower lows and lower highs, its simple. If gold breaks $1,200 then we see $1,000 eventually.

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    • Jesse Livermore's Ghost
      Jesse Livermore's Ghost

      *secular bulled market*

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      • operator1

        Ahem sir! “clears throat VERY LOUDLY” I believe you mean a secular BEAR market.

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    • it is showtime

      Manufactured bull market. Only history will determine who is right. You don’t have the whole story yet. I would say your side is causing major repercussions for future generations. Even though neither of us can really do anything about it….

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  17. Narredwhal

    The end of QE is just creating a wall of worry. The entire taper has been completely telegraphed, and has already been reduced by more than 85%. Why would removing the final 10 billion a month crash the whole thing?

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    • it is showtime

      Not much has changed with trends so it is still being pumped, side program, workaround, psychological softlanding attempt. Definitely don’t believe we are being told the full story

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  18. ironbird

    So many angry perma bulls. Correction callers are demonized with venom. It must be coming.

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  19. blackalgo

    agree Ironbird, but there are still a lot of blood on the streets when you look past the FBs, GOOGs and AAPLs of the world. There is a still some bounce left in a lot of these left for dead names. I’m looking for FEYE to clear 40 for example.

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  20. BoilMeImIrish

    At this point we’ve seen everyone and their mother call this (or something in the last several weeks) a top—to me, that seems like a mightily bullish signal.

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  21. itsgold

    Japan and ECB are starting there QE programs again. Couldn’t that prop up the market via carry trade?

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