Without Honour

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This country is without honour. Therefore, its underlying stock market, where men high on cocaine do business daily, operates without dignity and a moral compass. It is, mind you, without virtue.

Today, investors circle jerked around the merger of two losers: [[PHM]] and [[CTX]], as if it means anything. And, people went long low quality trash, rather swimmingly, all day long.

As you know, “The Fly” is long his share of bullshit names, such as [[PKD]], [[LDK]], [[AMKR]] amongst others. Naturally, into the bell commercial Re stocks enjoyed a “WTF moment,” sending SRS reeling. I am fucking sick and tired of the asshole hell ride this etf is on.

Fly moves of note: sold out [[ISIL]], [[WRI]]. Bought LDK, PKD, FAZ, ERX, AMKR and [[TER]].

Long 10,000 [[LDK]] around $7.60 into the bell, a Ragin’ special.

According to the Fed minutes, times are tough. As a result, this mornings rally has dissipated into the closet of Merlin “The Bull Killer.”

Let me explain my strategy:

I am buying low priced outliers, while shorting main stream banks, semiconductors, crude and REIT’s. Best case scenario, my little off radar stocks will hold value, while the market plummets. Or, if the market rips higher, my small cappers will zoom higher, effectively canceling out losses in my shorts. My overall bias is to be short. But, I will use all available cash (12%) in order to catch some swing trades, if needed.

Into rips, I will sell some longs. Conversely, into dips, I will take profits on my shorts.

Let me make this perfectly clear: there is no scenario, barring a positive GDP, that will make me bullish in 2009. My default will always be to short stocks. However, I am not stupid and do not like being on the receiving end of a short squeeze. I will get long when needed.

Understand something, “The Fly” roams around his office, decked out in white robes and sandals aka “the wardrobe of the Gods”; he is creating “art,” not portfolios, on a daily basis—for the sake of humanity aka “the people who are lucky enough to know him.” Whatever the fuck you are doing, I am not. My buys and sells are done, methodically, in order to create a pastiche of harmony, all done in a very dignified, honorable manner.

Into the bell, I will be long [[PKD]], [[TER]], [[AMKR]], [[EZCH]], [[CIEN]], [[TLT]], [[ISIL]], [[STAR]], [[GU]], [[WRI]] [[SRS]], [[FAZ]], [[SCO]] and [[SSG]] and short [[ACC]]

I am winning, yet again!

UPDATE: I sold out of my WRI position @ $11.75.

UPDATE II: I sold out of my ISIL position, north of $12.90.

UPDATE III: I bought 2,000 ERX @ $25.05.

I bought 20,000 [[AMKR]] @ $3.30, 10,000 [[TER]] @ $4.87 and 40,000 [[PKD]] @ $2.27.

UPDATE: I bought 2,000 FAZ @ $17.87.

Disclaimer: If you buy any of the above stocks because of this post, the next time you are out for a jog, a pack of wild dogs will chase you . And, you may lose money.

Pardon my tardiness. I was on a reconnaissance mission with some of my Somali pirate friends.

Someone just threw a hand grenade at my [[SCO]] position. I knew I would be early to the trade, as evidenced by PPT’s sell rating. I will buy more on dips.

So you fucking losers are having a grand ball, readying up for Cramer’s 1,000th show. Let’s all celebrate over a dish of waterbugs and rice.

Stocks are ripping higher, based upon the idea that the SEC will restrict short selling. Well, in my opinion, that would be horrific news for stocks, since short sellers provide a bid in a bidless market. Nonetheless, I am glad that I did not sell all of my longs.

I know what I am about to say will jinx me; but it’s worth noting, SRS, SSG, FAZ and short [[ACC]] are not gapping away from me today. The losses are rather limited.

Into this rally, I will refrain from adding to shorts. With some of my cash, I may buy some chips, namely [[TER]] and [[AMKR]].

NOTE: The insurance sector is now qualified for TARP funds. Some companies that were not, made some emergency bank acquisitions, in order to sucker punch the U.S. tax payer in the throat. As a result, the biggest dogs are running, namely: [[GNW]], [[PFG]], [[PL]], [[HIG]], [[PNX]], [[AFL]], [[SFG]], [[UNM]], [[AIZ]] and [[TMK]].

Rarely do I ransack the repository for resources, without wrangling with retards. The ruction that ensues, following my rally, always ratifies the recovery of rare artifacts of estimable riches. Upon such said roaring triumphs, “The Fly” rakishly ruins his rattish rivals, roisterously rolling over ribbon wearing rabbits, while routinely chewing on a roll gorged with rare radishes and red robster.

ROFL, indeud.

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I took an hour or so off today to communicate with the commoners (you) on my stupid blog. The result: sheer rage.

I can honestly say, 95% of people should not be managing their own money, let alone the savings of others. I have a big readership, no thanks to any of you. I’ve been throwing old ladies off boats for years now, on this here interwebs. I have learned that most people who read blogs are inexperienced tea baggers, better suited for the luxury of a rubber room than an office with a computer.

I have people banned from visiting this site all the time, mainly due to them annoying me or spreading fuckery, across iBankCoin. Let it be known, NOTHING pisses me off more than stupidity. Look you, I have a very high IQ and don’t have time to parse words with you. If you read the site and gain something from it, great. If not, you are welcome to go visit one of the two, or both!, gay Tim’s blogs. Go ahead, no one is stopping you.

I NEVER need your advice, whether it is related to finance, running a first class finance site or anything else. That’s right, I am getting all pissy and shit; what are you going to do about it? You can say: “The Fly is being a dick”; because it’s true: I am a dick. Frankly, I don’t care what you think; just stay out of my way.

As for trading:

I made more than 3% today, thanks in large part to SRS. At the close of trade, I am long FAZ, SRS, SSG, FXP, SCO, CIEN, WRI, ISIL, EZCH, GU and TLT. My sole short position is [[ACC]]. Moreover, my allocation is 55% short, 25% long and 15% cash, 5% bonds.

Over the next week or two, methodically, I will leg out of my shorts, just like I “legged in.” I do believe the market will hit new lows in 2009, just not yet. I am targeting S&P 600 by November.

At any rate, if you are short stocks, it’s important to take some money off the table on days like this, especially in this market—which is actively manipulated by secretive government agencies.

NOTE: The PPT nailed the near term top in the market to the exact day, yet again. Here is a chart that I posted on PPT last week, highlighting all previous Overall Hybrid readings of 3 aka the “ultimate sell signal in a bear market.”

“The Fly” is busy buying corporate bonds. After all, it’s not like the government will ever let big companies go bust. And, even if they did, no way they have the balls to let the bond holders eat dirt.

I’m allocating some of my cash (5%) to a myriad of corps, trading at a discount. I am buying CAT finance 7.15%/2019’s, GE Capital 4.8%/2013’s and T 5.5%/2018’s.

Truth be told, I am delighted to see many of your bullshitters get taken to the dry cleaners today, heavily starched, lightly ironed out. You treaded heavy and got caught stuck on the stupid pole, long asinine stocks, into a 25% lift.

You will pay for all previous affronts now.

Into the bell, “The Fly” is tempted to buy more FAZ and short more [[ACC]]. However, he will tame himself into eating a turkey sandwich instead. If you are sick of losing money and don’t know what to do, just quit and dedicate your time collecting aluminum cans. Quite frankly, I’m bored of bowling on you fuckers, week in and week out. I need to find a new hobby, like kicking unsuspecting old men down flood drains or teenagers down steep flights of spiked stairs.

Good times. Boat drinks.

UPDATE: I sold some of my SRS, purchased in the high 30’s/low 40’s at $43.55

My bones feel some sort of ominous shift in investor sentiment, away from the half hazard recommendation of James Cramer to the benevolent stewardship of men, like Senor Tropicana. Depressions do not end with 1 1/2 years of “fuck you, you’re dead” trading, then back to “party like it’s 1999, with coke” action.

It will be a long grind, before we start lining up the dedicated bears for castration.

With my money, I went to cash on a few positions, namely [[TQNT]], [[TLAB]] and half of [[CIEN]]. And, following my natural tendency to despise oil, I initiated a position in [[SCO]].

With regards to oil:

I am early to short it. However, I believe, in time, I will be proven correct, betting against it near $50.

As for my short exposure:

I am long SSG, FAZ, FXP and SRS. And, I am short [[ACC]]. I am not naive to believe the market is going to dump out here, and dive to new lows. But, at a minimum, we are overdue a correction to the tune of 10%.

However, there are many of you who still believe in mustard seeds and endless “bottoming out action,” as evidenced by subtle strength in select banks like [[C]], [[COF]], [[BAC]], [[MS]] and [[GS]] this morning.

So, my gameplan is to stay light by avoiding big directional bets. At the present, my cash position is approaching 20% and my shorts a little more than 50%. I will not jump on or off any bandwagons. Instead, I will wait for good entry points for long trades, since my short exposure is already bountiful.

Bottom line: Keeping shorts against banks/CRE in place and initiating a bearish position in crude. For now, leaving existing longs in place, just in case the asshole dip buyers emerge. And, use market weakness to purchase semiconductor stocks.

NOTE: The UK upped its stake in [[RBS]] to 70%. As a result, most European banks are getting slammed, namely, [[DB]], [[BCS]], [[LYG]] and [[UBS]]. I am a bit surprised U.S. banks are not down more.