2020 Elections Theme: EAT THE RICH vs BUILD THE WALL

This is going to be great. It will be a stick vs stick campaign, both parties jimmying to fuck a subset of the country with zero interest in the lives of beloved Wall Street.

Consider the following narrative.

Vs

If you thought 2016 was a tough year for investors — you haven’t seen anything yet.

Plus there’s this.

In theory, I should not care about FUCKHEADS worth more than $50m getting taxed.

However, the problem being punitive with the very rich is that it aligns you with the poor, who produce zilch. This economy is a trickle down scheme. Nothing of value is produced from the plebs and it’s important that you remember that for the rest of your lives. All you get from the plebs is murder, rape, and complaints. Some of you grew up with silver spoons lodged up your ass. I grew up with the plebs and can tell you, certainly, it’s better to be with the rich.

Now the super rich are another animal. Fuck those guys.

Nevertheless, the battle lines are being drawn and it doesn’t look friendly for the regular Joe Schmo stock trader.

This is what you call a ‘lateral move.’

I went long BILI, PDD, TME, and TLRY. The one thing those stocks have in common is they’re not correlated closely to the whims of the market. The idea, profit whilst everyone else perishes. This is my mission in life.

I still hold ZUO, PG, DRIP, and SQQQ.

In truth, I don’t think Wilbur is neither an imbecile nor a moron. I just like to place his picture on the site with the words above it. It makes me laugh. He statements are, in my estimation, a byproduct of being old AF. I believe Wilbur was born nearly 100 years ago. Therefore, and this goes without saying, he’s entitled to say and do whatever he god damn wants.

You getting mad at him is tantamount to getting mad at Grandma for slapping the cat for jumping on the table during dinner. That cat had it coming, and so does America for having good old Wilbur in charge of something important.

I closed out my SOXS trade today, for a loss of 14%. This is the second double digit loss for the week. Why, if I keep this up… I might go broke by the time I am 65 (extra Orson Welles).

Oil up, HYG up, tech up — markets rolling higher. My DRIP and SQQQ positions will not last the day.

What else can I say? Wilbur is being honest and we don’t like that. We want to hear nice things and ideas that are aspirational. Futures dipped on these comments.

Commerce Secretary Wilbur Ross said Thursday the U.S. is “miles and miles” from a trade deal with China.

“Frankly, that shouldn’t be too surprising,” Ross said in a “Squawk Box” interview. The U.S. and China have “lots and lots of issues,” Ross continued, and the Trump administration will need to create “structural reforms” and “penalties” in order to resume trade relations with Beijing.

“We would like to make a deal but it has to be a deal that will work for both parties,” he said. “We’re miles and miles from getting a resolution.”

Watch oil, bonds, HYG.

Some of you are still salty AF because of my post about trading and how it’s an idiots guide towards a lot of nothing and misery and pain. Deal with it, fucker.

Case in point: I’m a pretty smart guy. I know this because, in most professional scenarios, I’m the guy the other experts come to for advice. Yesterday, again, I fucked myself in a 3x ETF, thinking it was a lay up trade because MUH Apple warned so logic dictated so should the semis.

WRONG.

Both Xilinx and Lam crushed numbers, and with it my SOXS position.

In the pre-market, here is the pin action now.

XLNX +10.5%, SLM +9.2%, STM +8.9%, TXT +8.8%, AZPN +7.1%, LRCX +6.4%, AAL +5.8%, TAL +5.7%, JBLU +4.9%, URI +4.3%, TER +4%, ADTN +3.5%, LUV +3.4%, CCI +2.3%, VAR +2.2%, RCI +2.2%, CMRE +2.1%, TXN +1.7%, CP +1.3%, AEP +0.6%, F +0.4%

Select semiconductor related names showing strength:
AMAT +4%, MU +3.6%, ICHR +3%, NVDA +2.8%, WDC +2.5%, SMH +2.5%, KLAC +2.4%, SOXX +2.3%, AMD +2.3%, CY +2%, MXIM +1.9%, AVGO +1.8%

Can I glean from this a teachable moment? Nope, I haven’t learned a damned thing from this and it will not change my behavior one bit. These are the risks associated with trading. Now I could’ve went long, or even held onto the SOXL trade that I had the other day — but given the weakness in the tape, heading into earnings in what were supposed to be weak, I viewed it in a negative light. Now I know. The world isn’t falling. Even though the sky was falling last month and Apple warned, the world keeps jogging on and others are managing just fine.

It was a 5% position and it’ll likely be closed out today. I move on, like a hungry locust purveying delicious rich crops below.

ROSS: U.S., CHINA `MILES AND MILES' AWAY FROM TRADE RESOLUTION

— zerohedge (@zerohedge) January 24, 2019

I have an itch to write something lengthy. If you didn’t know, I wrote and published two stories last year.

I started writing about the first firm I was employed by, which was a spin off of Stratton Oakmont. It was a bucket shop and no I never did business there. I was merely enslaved for 9 months on its plantation and bore witness to insane things, much of which should make for good prose.

Here is a sample.

My second idea is continuing the story from Journey into Fear. But to be honest, I don’t feel like going through it now. My alternative idea is completely fictional, a novel about an Irish farmer swashbuckling his way towards stock market success in the most obscene of ways. I have in my mind how it might play it — but admittedly it might be a challenge for me since I’ve never written anything like that. That’s not to say I can’t do it. For the love of Christ, if I wanted to, I can talk about Joe Hamburger , who is plagued by sudden heart attack syndromes attempting to make his way in the construction business in NYC, constantly dying on his customers and workers, only to be paddled back to life in the midst of the job site.

“GET BACK TO WORK YOU BASTARDS. WHERE’S MY CIGAR?”

The market was supposed to jog on lower, but instead catapulted up. During the lows of the session, I got my weave drawn into the market thru 3x inverse ETFs — and fucked as a consequence.

The bear set up hasn’t been demolished. And, as a matter of fact, the bulls really need to press their rights soon, otherwise their initiative will be lost. Having said that, it pains me to undergo delay. I do not like to wait for the things that I am entitled to.

By the vestiges of all that is good and sanctimonious in this world, I call upon the ancient devils who watch over me and ensure that I preside over a black and hardened future, one chosen through free will and thru estimable effort, to be gone from my person and sanctioned back to hell.

Le Fly chooses to live a happy and joyous life, one filled with ribald men pestering me for advice and stock markets crashing lower without any hope of respite.

Here’s to tomorrow and the future and the prospects of aspirational thinking around the idea that stocks can and will plummet lower — enabling me to profit from their eventual and cataclysmic demise.

The whip-saw action continues. We reversed a huge open and plummeted, led by oil. As prescribed, I acted upon it and allocated 15% of my assets into three 3x ETFs. The subsequent results since then, a few hours ago, is disappointment, as markets have stopped going lower and now moving sharply higher.

I was not trading for intra-day, instead looking for a 2-3 day hold. However, given the move lower yesterday, coupled with a potential large upside move today — you get a whole lot of circle jerk and indecision. I suppose the best option is to sit it out. But it’s my belief that if we get a follow thru day on the downside today, we would have entered a new leg lower in the bear market that had begun three months ago.

For now, I am patiently watching the markets for a firm direction and will likely do nothing until 3:45pm.

Is this the reason why we reversed today’s gains and sunk lower? Maybe.

One thing is for certain, this is not 1/4/18. Yesterday’s black candle has led to an anti-climatic rout during today’s session. This could be the beginning of an extended downturn.

As such, I bought SQQQ, SOXS, and DRIP.

Bet against me, lose your house.

I had a feeling today would poleax shorts into the ground and bust their jaws loose. My cynicism of all things obvious caused me to refrain from taking on hedges. Rolling into today, all I am long in my trading account is PG, CANG, and ZUO. Fuck you very much.

There are rumors and rumors of rumors swirling; but you only need to know one thing — stocks are rigged to go higher. During periods of dissipation, stocks are fixing to be rigged higher. On a long enough timeline, stocks trade much much higher. That’s the fucking truth and you can spray paint it on your neighbors’ walls for all I care.

Here’s what’s important to note.

I sold most of my longs yesterday in a trading account that represented 25% of my overall investable assets. The other 75% is tucked away, neatly, in a Quantitative strategy that is participating in this rally. Had I been trading all of my money, I’d be making zero right now. The cash that I have in my trading account may or may not be allocated today. But here’s the point: it is an avocation to trade. I enjoy doing it, but it’s not how I intend to build wealth. Ultimately, stocks trade higher, at least 75% of the time, on an annual basis. If we’re entering a horrible bear market, I expect to lose money in my long term account — but hopefully smart enough and agile enough to limit those losses thru keen trading in my discretionary account.

As for this rally, watch crude. It’ barely up and might mess with the mood by noon.