“It’s a Bull Market, Damn It”

I quote the great Mark Haines, resident fat guy from CNBC, because he is a man with worldly advice. He knows, as well as Dennis Kneele and James Cramer, that we are, indeed, in a new bull market. Betting against such men is equal to playing with pinless hand grenades, inside of a dynamite stick factory.

You don’t like the market? Good, short it with all of your might. What do I care? Stick your short ideas in your ears and go for a swim to Canada. If you are cursed with actually living in Canada, just remain where you are—that is punishment enough.

I fucking ruined my lawn, yet again (I ruined my lawn two years ago). I was at Lowes the other day and bought some of that “Turf Builder” crap, thinking I’d “outgreen” my neighbors and make them green with envy. Yet, much to my chagrin, I am now blessed with crop circles, all over my stupid lawn. People pass and laugh, exclaiming: “look hon, it looks like a UFO landed here.” Then I come out, with my bearded face and shot gun, ordering them off my property. Sometimes I let off a warning shot, just for dramatic effect.

The market dumped out today, led by banks and CRE. To be honest, it really is no concern to me, just yet, especially since I have a rich cash position (35%) and “better-than-you” (50%+) year to date gains.

If my crystal ball is accurate, we will trade higher tomorrow, led by oil/gas.

For fucks sake, the CAT finance bonds, bought @ $93, 7.5% yield, which many of you poked fun at, are now trading near par. Once thought to be dead bank stocks, like CORS and FTBK, are alive again and eating the brains of those who are short. Tech stocks are ignoring today’s “death to equities” chant, all the while you—the last man fighting ww2— keep shorting the banks.

What the fuck do you idiots need, in order to stop you from hurting yourself? I am intervening in your stupid life, on a continuous basis. After my 1,000th win, you’d think that my word meant something, but no. You and your ego, remain steadfast in shorting the market until your pathetic online account is gone.

I initiated a position in SFE today, despite its rag-tag equity price. Truth be told, I buy SFE once every 5 years: I never lose.

At these levels, I like CUZ, TWi, ATHR, SFE, RFMD, FTK, GMO and DELL.

However, due to my insane year to date gains, north of 50%, I will not dive into the market—on a mere 100 point pullback. I have a 35% cash position and will use it to buy real dips, not this cowardly cub-like scratch.

UPDATE: I bought 20,000 BEE @ $1.36

I bought 66,000 SFE, between $1.04-1.05.

Disclaimer: If you buy the above stocks because of this post, your only son will grow up to be a penny stock promoter. And, you may lose money.

NOTE: SFE is a holding company, with investments in a variety of companies, like CLRT. Its position in CLRT, at current market prices, is worth more than all of SFE, effectively rendering a valuation of SFE‘s portfolio of privately held companies worthless. In my opinion, this is a mistake.

The little cubs are out in force today, pressing stocks lower to the tune of 1.3%. The little cubs, if I might be so bold, have small paws and dull teeth. I let these little living stuffed animals chew on my arm, out of sympathy, for I know they cannot hurt me. I throw raw pieces of meat around the office, daring the little cubs to come and get them; but they never show.

I declare: the days of fearing the bear are somewhat over, at least temporarily, as the drunken bulls shift their fiat currency from one piece of shit stock to the next. Much to the chagrin of the little cubs, there is nothing they can do to stop the tidal wave of reckless abandon. People are making money in stocks again and it is a dangerous task trying to stop a runaway locomotive.

As for me:

I have monstrous gains in ABK, thanks to Lord Jake and his puppet sock band. My biggest intra-day loser is TWI. But, I am still up following Friday’s melt up. And, my latest foray into RFMD has proven to be an accurate one, thus far.

Bottom line: If you are keen enough to catch the dips, do so, However, just know, the stock Gods have blessed this market, and in my opinion, it is going higher. At the moment, capital is flooding the banking sector, in order to fill egregious secondary offerrings. Once the offerings cease, BAD-BING, up we go.

UPDATE: I sold out of my ABK position, north of $1.88

Apparently, some of you are.

From a psychological stand point, which is paramount when trading, the market has bottomed. Naturally, that is an easy thing for me to say, AFTER a 36% gain from the lows. I am just stating the obvious.

Look, I hate this shit as much as you. I don’t want to see things back to normal, status quo, so that my children can get poleaxed by egregious tax rates, in order to pay for today’s sins. I contend, it’s the fucking baby boomer, hippy, degenerate generation who ruined this country. That’s all.

Back in late 2002, if you would have went up to me and said “yo fuckface, 2003 is going to be a banner year for stocks. The NAZZZZ will be up 50% and dozens of sub $5 stocks will go up 500%,” I would have punched your lights out and “fistfully” removed your eyebrows from your face. I mean, post 9/11, dot com crash, we had a lot of bad mojo working for us, as we do now.

The market will continue to go higher, providing people think the economy is on the mend. As bad as the numbers are, there are signs of life, particularly in the factory utilization rates. I will cease playing the long side, when those utilization rates downtick. It’s as simple as that.

As for the banks:

Let’s face it: they will have NO PROBLEM raising $75 billion, as mandated by the Government sponsored “stress test.” For the love of rotary phones and outdated running shoes, WFC raised over $8 bill on Friday. If news of a $75 bill short fall hit the tape 3 months ago, the Dow would have plunged to 5,000. Things are different now. Like it or not, some people have made a lot of money in recent months, including me.

When people make money, their risk appetite expands. I know people that were getting long commodity related names, like TCK, in the low 3’s—now trading north of $13. Again, there are a lot of people who have made a lot of money, during this recent run.

Will it last?

I don’t care.

My job is to read the tea leaves on a daily basis, which is why I get paid the big bucks. I micro-manage. I do not build accounts, then shuttle myself off to some stupid island, where pina coladas are served poolside. Fuck that. I torture myself and everyone around me to perfect the art of money management. As you know, I don’t take breaks and I rarely go on vacation.

As for the unimportant matter of penny stock investing:

Define a penny stock. Are ALU or RFMD penny stocks?

Answer: NO, not in the traditional, “this is a scam so run,” sense of the term.

They are liquid stocks with big underlying businesses. Keep in mind, during the market bottom of 2002, the biggest winners, BY FAR, were sub $5 stocks, like GLW and LVLT. There is no valid reason, aside from a phobia, to cast away sub $5 stocks when trading. It’s not like someone is going to put a big fucking sign on your garage door: “HERE LIVES A PENNY STOCK PIKER,” upon purchase. Chill the fuck out. Drink a beer; buy a sub $5 stock, with a stop and small percentage of your portfolio.

For the love of gay giraffe’s and purple marijuana, I only buy them because they make me money. The second the penny stock trade dies, will be the moment I curse them to hell, for eternity.

At the end of the day, you have to make a decision: Will you just sit around, like some sort of paradiddle, watching everyone else make money? Or, will you step up to the plate and take a swing?

Time to get your Starbucks card repolished and your Best Buy visitations back up to 2006 levels. To put it succinctly: fuck what you heard, THE BULL IS BACK.

Developing…

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What do you care where I get my stock picks? Last I checked, CA, RC, Alpha , Jake and “The Fly” have been minting coin for you ingrates, at a criminal rate. The blog is all fun and games. However, when it comes to my fucking business, NEVER question my time machine and NEVER talk shit about my platinum market hand.

As for The PPT:

If you are not a subscriber, it makes no sense for me to explain its divine power. Today’s picks alone (CYNO, TWI, SPRD, MTSN, TVL, GMO, CUZ, AXL, HTGC etc) are proof enough that we—at iBC– are much smarter than you.

Let it be known, there is no greater braintrust of market wizardry, than the chosen few at iBankCoin. For those of you who opt to ignore such sage advice, well then, you shall find yourself in the cold.

For the day, I was up a lot.

Fuckers.

I bought 100,000 RFMD @ $2.50 and 10,000 GMO @ $1.74.

UPDATE: I bought 20,000 TWI @ $8.05ish.

So much for my “no more buying small caps” oath. I can’t help myself.