Your Bank is Worthless

You fucking lemmings are hoping for a rally, while the banks get “homo-hammered.” Sure, keep betting on tech, see where it gets you.

However, its been 2 weeks since our last 400 point spike. Perhaps the Government will give us a nice bailout package for tomorrow’s trade?

Nonetheless, “The Fly” had a stellar day, with large gains in his short positions, especially [[FED]], [[DSL]] and [[WM]]. In addition, my double inverse ETF’s did well. My favorites include [[FXP]], [[SRS]] and [[SKF]].

Those fucking bastards from [[POT]] and [[MON]] will not trade lower, effectively deballing my [[SMN]] position.

My strategy is to just wait it out. Time is on my side.

Finally, I want to take issue with the asshats who say “the worst is behind us.”

Says who?

Last time I checked, banks are doing dilutive deals 30% below current market valuations. In my opinion, as a whole, bank stocks are 30% overvalued. Should they trade down to their true value, SKF will print $160.

When trying to pick a bottom, keep in mind, the “commercial loan shoes” have yet to fall. Literally, there can be 2 trillion dollars in future write-downs, effectively rendering all banks worthless.

Odd, no?

UPDATE: [[CROX]] longs are preparing for a unprecedented “Baseball Bat to the Balls” treatment, when the stock reopens for trade. Another nice call from the retards at Fast Money.

Developing…

I sold short 2,000 [[MS]] @ $42.88.

Disclaimer: If you sell short MS because of this post, the great depression part II will strike your city first. And, you may lose money.

Looking at my short position sheet and watch list, I am shocked to see certain bank stocks getting creamed, while the market is holding up. It’s almost as if the buyers are covering their ears and eyes, and just buying shit blindly.

Most of you hatfuckers are unable to trade a bear market. Your default is to just buy when stocks are down, like some sort of retard trying to feed a ham sandwich to a jaguar at the zoo.

One bank stock that may continue to slide is [[CORS]]. Those fuckers invested half of their cash reserves in a portfolio of bank stocks, including [[CFC]], [[BAC]] and [[C]].

I kid you not.

Also, right here, I am or would like to be short [[WM]], [[FITB]], [[FHN]], [[DRL]], [[PHH]], [[CLMS]], [[AF]], [[KRNY]], [[DSL]], [[FED]], [[LEH]] and [[MS]].

On the long side, I like [[RIG]], [[DGP]], [[LMT]] and [[VMI]].

Hopefully the dumb hicks from VMI can get it right this quarter and blow out the estimates. If so, look for the stock to trade above $120, short term.

It really is a waste of time, waiting for [[POT]], [[MON]] and other ag plays to top out. Especially when the financials are ATM machines for the shorts.

With oil above $111, it’s game over for [[DCR]]. What a scam. Should oil close above $111 for three days, DCR will be liquidated. Lawyers will have a field day with the this one.

As for me, I like [[SKF]] and [[SRS]] down here.

NOTE: Another Fly short, [[DSL]], appears to be heading to zero too.

With the financials scheduled to report earnings this week, I like my chances betting against them, particularly [[FED]]. Hopefully some of you leeches shorted some FED near $30, like “The Fly.”

Finally, the market is holding up fairly well, as the bulls hold onto their optimistic sunglasses. Heck, they even got a merger of losers today with [[BBI]] and [[CC]]. Without being too clever, I will tell you time favors the bears. There will be more writedowns and significant earnings short falls this quarter.

One big dice roll: short [[IBM]] into earnings.

I’ll have you know, “The Fly” keeps a hideous blue radio in his kitchen, much to Mrs. Fly’s chagrin.

This radio has a broken antenna, broken CD door, held together with blue tape, and looks like its been punched in the face a few hundred times.

See, once upon a time, the radio was rather good looking, despite not matching with Mrs. Fly’s granite and steel kitchen paradise of luxury. However, after listening to many “short end of the stick” NY Met games, often times “The Fly” would rip the fucking radio out of the wall and beat it like an Iranian shoplifter.

Naturally, shortly thereafter, I’d make up with my little blue radio and place it back on the counter and listen to its scratchy, low grade audio.

However, Mrs. Fly’s attitude towards this “apparent eyesore” grew by the second. After the CD door “accidentally” broke, she started throwing it away.

As you know, she underestimated me.

Much to her chagrin, “The Fly” would fetch this gruesome blue radio out of the garbage, garage or closet, clean it off, then place it back on the counter—in order to listen to more losing NY Met contests.

This radio has been the root of many debates at Flydom, as Mrs. Fly and I jockey back and forth, “debating” the fate of the antenna-less blue radio. Basically, she throws it out upon sight, exclaiming: “go buy another one. This thing is disgusting.”

I do not agree.

See, the blue radio and I have a lot of history. Granted, it is unable to pick up any music channels or play a CD anymore; I am still loyal to it.

It picks up like 3 AM channels. That’s all I need. Fuck it.

So, the point of the story is this: if you want to get into heated, meaningless debates with your wife over “artsy” kitchen decor, place a monstrous blue radio on top of the counter, which is held together by tape (attached is a real pic of my beloved radio).

After all, we’re all blue radio’s, to a large extent, excluding “The Fly” of course.

UPDATE: The Godly folks from iBC have put a new comment feature on the site. Check it out on the right hand side. It will list the 10 most recent comments, from all iBC blogs.

iBankCoin is better than you.

Behold!

[youtube:http://www.youtube.com/watch?v=j444hTTXXlo 450 300]

I will not discuss today’s tape, for it is redundant.

We are going lower on Monday. Live with it and trade accordingly.

Looking at my email box, I can tell you there is a lot of scrambling for capital at [[MS]]. They are issuing loads of notes, with 10.5% coupons.

Egregious.

The worst I’ve seen is by [[AMD]]. They are offering 21.5% reverse converts. Ha!

Here, take a look at the document.

In short, “The Fly” wins all the time, even when he appears to be losing. Enjoy the recession and long live iBankCoin.

Off to celebrate GE’s demise (biggest one day drop since ’87 crash) over a cigar or two.

This can be a market mover.