Explain This!

I dare you to even try to understand what is going on here.

Gold is no longer a reliable tell for inflation expectations. Recent dollar weakness can only be attributed to a record short squeeze event in the euro. What’s important to monitor is treasuries. Look at the TLT and tell me why it was diverging from the dollar.

Answer: anomaly.

The relationship between treasury strength and dollar strength cannot be denied. Their fates are intertwined. Just to throw it out there, sovereign CDS spreads for Venezuela, Argentina, Portugal and Ireland have been blowing the fuck out. Keep that in mind, when aimlessly allocating money for yourself or clients. The truth of the matter is: this is a period in time when you will accomplish more by doing less. Go on vacation and toss the ball around with your bratty kids. Instead of rolling into this market in a tank, pick up a knife and quietly kill people when no one is paying attention.

This is great advice.

All in all, today would have been an uneventful day for me, if it wasn’t for the parabolic move in FTK. By the way, that fucker is not done going higher. Nevertheless, I remain steadfast in my belief that we will enjoy a relief rally soon, as dictated by the articles of law, inside of the handbook of sublime harmony of mathematical precision (S.H.O.M.P). Because of these beliefs, “The Fly” has allocated his dearest resources (cash) towards achieving market excellence, via bulltarded long positions. However, I remain hedged with 25% of my book saddled in a rather delightful and wondrous VXX position, with an additional 25% in cash.

In short, tread, but do so very carefully.

I bought all three stocks in the title above.

Disclaimer: Don’t do what I do. I am much smarter and richer than you.

I don’t give a shit what happens today, for the stock Gods have blessed me with winning lotto tickets. Much to my delight, it appears the transvestites at FTK got their acts together, by way of conducting business. The company, believe it or not, is in a hyper growth phase, with 32% yoy revenue growth and 48% growth in their booming chemicals division. While it’s true, the company is still losing money. However, they are well on their way towards profitability. What does this all mean for Senor Tropicana?

It means if you are short the name, “Fuck you, you’re dead.” That’s all.

With more than 20% of the float sold short, I stand to make a lot of coin, once the squeezing is done. To be clear, I am still down on the name. But I have been waiting for this moment for over two years and believe you me, I will be eating large quantities of cake, very, very soon.

As for this tape:

We are not in a LONG ONLY MARKET. With that being said, I am keeping my VXX, due to my personal hellbent mission to see this market lower in September. But I am adding to longs here in a significant way, now representing over 50% of assets. My best advice to you is this: prepare for a bounce. Make money on that bounce and then get ready to defend yourself from zombies trying to eat your fucking brains—sometime in early September.

Top picks: BAC, GMCR, TNA

There are a few things in life “The Fly” does not do. One of them is defying the laws of The PPT. Responding to the OVERSOLD scores posted yesterday and today, I opened up my war-chest and started buying stocks—only for short term trades. Let it be noted, I still think the market’s face will get peeled off in September.

At any rate, I started positions in the following:

TNA, ANF, BUCY, GMCR and BAC.

My goal was to select a group of stocks that “embody” the market. I believe the above names accomplishes such an arduous task. Let it be noted and also known, it is very low class of you to refuse my pearls of wisdom, for I am light years ahead of you, with regards to spatial intelligence. What you need to understand, ever so succinctly, is that “The Fly” is your superior being. If you and I were living in the 1800’s, in the same neighborhood, you would be my butler.

Finally, I did not sell any of my VXX. I am sort of leaving it in place, as an insurance policy. My cost basis is high $24’s. Essentially, I expect to be wrong with today’s buys. Because of this, I made partial buys, with full intent to add to my newly formed positions tomorrow and again on Monday. It is a rare event to see “The Fly” on the wrong side of the trade. Do not bet that it will happen now.

NOTE: As you know, I sold out of my SCO position, booking egregious gains in the process.

I booked the profit, selling my entire position, north of $14.80

The market is trying hard to rebound, but can’t quite get its footing.

I mean, we have decent action in a number of sectors. In basic materials, CLF, CENX, SCCO are looking good, as well as a number of other metal stocks. In the banks, NTRS and C are showing strength, while COF and BLK lag. Ag is on fucking fire, due to the sudden “scorched Earth” policy of Mother Nature on Russia. Stocks like CAGC, MOS, IP, AGU and POT are off to the races.

Gold and silver stocks are green across the board, as GLD presses higher.

Retail names are okay, with leadership in GES and PLCE. However, SHLD, KSS and SKS are very weak.

The big outlier and albatross for today’s tape is tech, thanks to CSCO. Their tentacles spread wide and are inflicting damage to the share prices of NETL, CAVM, JNPR, CIEN, BRCM and JBL. If not for the “CSCO problem,” this market would be off to the races right now.

If forced to guess, I’d say we get a decent bounce tomorrow. Prepare accordingly.

NOTE: I will likely be buying some names shortly.

Here on iBankCoin, we get a lot of traffic. Because of this traffic, coupled with my, shall we say “infectious” personality, people tend to lash out in fits of retarded clown-like rages. Due to this phenomenon, coupled with my disdain for people in general, I have banned more people here than any other blog on the internets. I am the North Korea of the blogosphere. Now, if you have been banned from iBankCoin and feel you have been wronged, all you need to do is apologize, sin no more, and you will be released from my internet prison, which is guarded by none other Mr. Greg Solomon. Do not take offense, small pleb, for I hate you and everyone else equally. May I offer a suggestion, in order to remedy the current situation?

Indeud.

Here at iBankCoin, we have lots of bloggers plugging away, offering sage advice for free—so that you may navigate the financial markets. Most of our bloggers are serious people, who have no desire to entertain the likes of you, due to your, shall we say “spasticly retarded demeanor.” However, we do have one blogger who loves your kind. His name is Jakob Gint, esq. Feel free to interact with Mr. Gint, at your leisure. Tell him Mr. The Fly sent you.

As for the markets:

We are OVERSOLD and should rebound. I gave you a list of stocks to look at last night, as well as an ETF idea. Hopefully, you can figure out a trade or two. As for me,  I SHALL NOT sell my SCO/VXX just yet, as I am not convinced we are ready to lift off.  However, I do have a set of stocks that I want to buy and will do so, whenever the voices inside of my head tell me to. I am prepared to invested 30% of my assets into this decline.

More on this later.

If you have listened to me, you have lots of cash and hedges right now.  Instead of spending my time worrying about fucked up long positions, I find myself this evening in a position of strength—to once again purchase your margin liquidation. Using the mathematical formulas of The PPT, the following stocks are inexorably on my “to buy list”:

CRS, MTW, PH, GMCR, LHO, FLS, GMCR and TNA, just to name a few. More will  materialize, without a doubt.

Repeat, originally aired 5/30/10

Mr. Devildog Addresses iBankCoin

With the market dropping more than 3% today and TZA ripping tits, I think it is my right to declare victory, yet again. Let this be a lesson to you fuckers who like to bet against me or call me names: bet against me; lose your house.

Good day to you.