I’M BOSS HOG

This was a big day for stocks ahead of the Fed meeting. I am still cautious and still own a bunch of boring utilities and treasuries; but I also enjoyed a welcomed boon today in the form of IFON. I own a lot of stock and have been down on this name for about 6 months. It perplexed me how such a small, well run, company could be so hated by the degenerates who trade stock. After all, they are growing upwards of 25% per annum, profitable for the past 5 quarters, $2 mill + in the bank, and have carved out a nice niche amongst the indigenous folk in South and Central America.

Very simply, with just 10 million shares in the float, I think you should grab it (extra Bud Fox).

I am now up on the stock and will see to it that I enjoy the upside twice as much as I lamented the downside.

To sum things up: there is a reason why I am bearish and haven’t shorted any stocks. Today was a perfect example to support my decision to be long utilities instead of TZA. Central banks around the world are hell bent on higher equity prices and it’s hard to fight that sort of firing power. Nevertheless, it’s also hard to justify how WDAY, FEYE and SPLK could be good buys at 20-31x sales. It would seem to me, this market is best suited for the rabbit skinners and beer swillers, than old school valuation guys.

Lucky for me, I fall in neither camp.

NOTE: For those of you who made some coin, get your asses down to Vegas to celebrate with the crew. We have just 15 spots left for the early bird special. After that, prices are going up.

Forget about the villainous market for a minute. Deep from within the bowels of the Amazon jungle, the banana trees reverberate from the melodies of samba music playing. Local town residents dance atop of straw tables and snap pictures of one another with their ‘VERYKOOL’ iFONs. Peace pipes filled to the brim with marijuana and cocaine are shared and the children chase one another, beating each other with long vines and coconuts.

Ladies and gentlemen, the iFON has broken loose.

Over this past weekend, in the FT, there was a story that said Google would target these very markets for expansion. I can tell you, after speaking with management, that they would be open to a sale of the company–being that they have carved out a nice niche in S America and lack the proper funding to expand globally. They operate a clean, profitable, business and have no need for funds. Very simply, this stock can run a great deal higher, maybe up to $7, before the bears can crawl out from their holes and declare it to be expensive.

Markets are ripping higher; but my utilities are still up though.

This is a big deal. CALPERS is removing themselves from the cesspool that is the hedge fund world, which represents about $4 billion. What’s worse is that this could become a trend for pensions around the country, which in turn may lead to forced liquidations–further jarring markets. But even if stocks soften a bit here, there are plenty of go-to names to devour on the cheap.

Look towards GILD (I am long), trading 11x eps, on pace to generate over $15 billion in free cash flow next year. This is a company that may begin to aggressively buy back its own shares or increase its dividend.  By the way, they cured hep c.

Two biotechs worth buying on dips are ACHN and ARWR. ACHN has a cheaper hep c drug than GILD’s and the data has been impressive. ARWR  (I am long) is working on a hep b cure and is a possible buyout candidate. Other biotechs that I will buy on dips include JAZZ (I am long), XON, GEVA, ALNY and SGEN (I am long).

Let’s not forget about the oil boom in the Bakken and Permian Basin. I like fracking sand companies SLCA (I am long), EMES and HCLP. And exploration companies FANG, OAS and CLR.

Lastly, there is the tech arm to this market. Web 2.0 is the only way to play it. However, valuations are stretched and if we get a decent pullback, you might lose your scalps with these names. Nevertheless, YELP (I am long),  AAPL (I am long), TRIP and TWTR are must owns–long term. Other high tech names that peak my interest are MBLY, GPRO, PANW (I am long), QIHU, YY and  N (I am long).

As an aside, if Shake Shack ever comes public, I will make it my largest position and probably never sell it.

Until then, my trading positions are heavily biased towards utilities and treasuries. I am also excited about my IFON position catching a second wind.

There will be one last chance to sell and it’s coming soon. The market as you know it is going to change. When all is said and done, there will be nothing but remnants left of a time when you’d make 10% before lunch and another 20% afterwards.

Black clouds approach and the Fed isn’t going to help matters this time, as it is led by a crazy old woman.

What you need to do is understand that fundamentals will not play a role in the coming correction. Price discovery will be had by the sword. People will be ruined, leveraging into this maelstrom, thinking it’s only a benign dip. They will be wrong, for this is blood sport. The very blueprint of what is going to happen has been laid out for you, 14 years ago to the day.

Naturally, I could be wrong and I still have a great deal of exposure to the markets. But I’ve hedged myself well, putting TLT, EXC, ETR and GAS as my largest positions, intent on surviving the coming apocalypse and then drinking your blood.

Good day.

https://www.youtube.com/watch?v=vg1xlLufxIU

The path of 2000 was my prophecy and I am here to see to it that it is fulfilled.

I do not need to offer commentary. Instead, I will provide you with two screen shots of stocks that will speak for me.

Over 400 stocks are down more than 4% today. It is a rout, gentlemen. Prepare your helmets for a crashed landing.

My bubble index is off by 2% this morning and biotech/high valuation tech stocks are being dismantled. Do not look for a reason, for it was written in the stone of ancient ruins (Puma Punku), foretold that this day would come–many centuries ago.

Utilities, REITs and treasuries are higher, as per the plan. It’s also worth noting that IFON is higher too. Go figure.

Listen to me very quietly: these aren’t garden variety moves and if it wasn’t for the good Dr. telling me to hold ARWR, I’d sell it twenty ways till sunday now. I am fortune to have held onto my moribund holdings and wasn’t lured into the sordid affairs that many of you find yourselves in now.

If you’re looking for market tells: look no further than FEYE, SPLK, WDAY, YELP and N.

Everyone that I know hates radioshack. Their prices are high and their employees are stupid. There are rumors floating around this morning about a giant financing deal in place, perhaps by AMZN, to keep the remote control water boat vendor afloat (pun intended). If AMZN takes over the RSH footprint, I will begin buying puts on the stock immediately.

No one cares about those little stores, unimpressive and without purpose. They are relics of a time when kids played with walkie talkies and remote controlled cars.

Nowadays, kids want to play with apps, snapchat their stupid friends stupid pictures, and shiftlessly meandering about the house in search for things to do–whilst noshing on snacks.

I am here to petition, very early in the morning, on this day, to LIQUIDATE all of the radioshack stores and fire all of its employees–because a loser is a loser and they are going OUT (extra Glen Garry)!

One of my pet peeves is being forced to see people who are obviously aging taking selfies of themselves and posting it to social media. If I follow you, or perhaps happen to glance at my phone, I am a captive audience to your depravity. Let me enlighten you to something.

After the age of 30, selfies should be illegal. The only judgement people will make when seeing your photos is how remarkable or hideous you look for your age. They’ll say stuff like “wow, she looks great  for 45. Or doesn’t he look young? He’s really 47.” They’re not actually saying you look good, mind you.

I find it to be insulting to my time for you to post selfies of yourselves after the age of 30. Older persons, such as myself (38), should resort to posting pictures of oddities or events that you happen to enjoy. Ergo, folks, you are in the no-selfie zone, a place where people know and understand to be beautiful is to be young  and if you’re not young, you’re just aging well.

Age gracefully and stop taking photographs of your wrinkles.

Markets are heading lower and futures are vomiting all over themselves. Prepare to be SAMSONITE HAMBURGALAR’d tomorrow.

Marc Faber has a mental disorder. Just today he said he’d feel lucky to only lose 50% of his money in the coming crash. I suppose it wouldn’t make sense for him to just, oh I don’t know, sell his securities and avoid such a horrible fate. Then again, without the dramatic effect of being personally afflicted by the coming crash, Mr. Faber might lose a little realism in his television appearances.

Very simply, today was a total circle jerk. This market is designed to set me back. My only respite is the low beta quality of my current portfolio. I could use a windfall or two:  perhaps a surge in IFON or a blast off in ARWR or LITB. One thing is for certain: this market was built for The Option Addict, who once again nailed another call with NMBL ripping off chest hairs today.

For those of you who are just tuning in, iBankCoin is hosting its first ever, and possibly its last ever (depending on my experience with  this whole thing) conference. Seek out the details and book your flights now. We do have discounts available for the Encore hotel and will get that information out to you after we finalize the paperwork.

https://www.youtube.com/watch?v=vg1xlLufxIU

I am convinced if it weren’t for David Tepper and a slew of copycat hedge funds, TLT would be higher today. It makes zero sense to see commodities get crushed, the dollar soar higher, yet treasuries lower. In all of the history in all of the world, this has never ever happened…ever.

The country in which the bonds are located cannot have a surging currency, whilst deflationary pressures are present in the form of tanking commodity prices, and also have its yields go up. Fuck you very much Mr. Tepper, I hope there aren’t any sales at the mall today.

Deflation. Let’s talk about it.

Corn, wheat and sugar are down 20% over the past 3 months. Natural gas, cotton and oil and down 16%, 13% and 12% respectively–over the past 3 months. Gas, timber, silver and gold are lower too. The only commodities that have risen, markedly, is cattle, palladium and coffee, none of which could be considered harbingers of inflationary doom.

No, I am digging my heals in here, awaiting an awful tape–one that rewards, not punishes, those who smartly went long treasuries and utilities, god damn it.