The Smashing Pumpkins – Thirty-Three

[youtube:http://www.youtube.com/watch?v=Xc9ZbS4KMdg&feature=related 450 300]

Granted, I sold some of my inverse ETF’s; but for the most part, I was lit aflame today—with big dicked losses in [[FXP]] and [[EEV]].

I got greedy, betting against a country (China) that knows nothing but green. So, at the end of the day, I am humbled.

All in all, today had terrific bottoming action. If you had the stones to buy when things looked bleakest, you banked some serious coin today.

Going into earnings, I am not optimistic about the market. However, should the Fed step in or some sovereign fund throw a few billion at a beleaguered financial, the “guns of revenge” will quickly turn and fire automatic rounds at the bears.

Then again, if your time horizon is more than 2 days, it still makes sense to reduce equity exposure.

Top pick on a bounce: [[RIMM]]

I bought 2,000 [[CMO]] @ $13.65.

Disclaimer: If you buy CMO because of this post, the writers strike will last for 30 years, effectively bankrupting all writers. And, you may lose money.

I bought 1,000 [[REW]] @ $ 64.55 and 1,000 [[TWM]] @ $83.50.

Disclaimer: If you buy the above stocks because of this post, Bernanke will cut by 200 basis points, at the next Fed meeting. And, you may lose money.

The action in the financials is very alarming.

Aside from [[CFC]], [[WM]], [[PMI]], [[ABK]], [[MBI]], [[SCA]], [[RDN]], [[MTG]], [[ETFC]], [[ACF]] and [[SOV]] all look like they’re heading to zero.

Is it possible?

Yes.

Apparently, the prospect of rising unemployment, coupled with the credit crunch, has investors running from anything related to financials.

Today, I covered some of my [[LEH]] short, but regret it already. Also, I sold my final 2,000 shares of [[SKF]], for a monster gain.

With the proceeds, I will, stubbornly, bet against [[CHL]], [[LFC]], [[PTR]], amongst other China names, via [[FXP]].

And, I have a very rich cash position. Hopefully, we can get a sustainable bounce, so that I may use it to sell short LEH higher.

God willing, of course.

NOTE: It looks like the news of [[DD]] going after [[MON]] got out.

I sold 2,000 [[SKF]] @ $122.

I bought 2,000 shares of [[FXP]] @ $74.30.

Disclaimer: If you buy FXP because of this post, the next time you visit China, the Government will have you arrested. And, you may lose money.

[youtube:http://www.youtube.com/watch?v=EzxJy-7ggx0 450 300]

…sucks for [[MON]].

The only reason the DOW is higher today is due to Dupont’s great earnings report. Delving into it, I can tell you their agriculture business saved the day, currently representing more than 23% of revenues.

Moreover, they are set to unveil a new set of seeds that will hurt MON.

Currently, they license several seeds from MON, which will cease upon launch of their own product lines.

In short, MON is growing fast and is a market leader, but will soon come under competitive pressures from DD.

Aside from that, I am taking a shot on [[RIMM]] here. For traders, should the stock break $94, you may want to cut losses.

Finally, I like the action in [[GILD]], which is a position of mine. And, I am shocked to see [[MVIS]] getting shredded like this. People must be disappointed in with what they saw at CES.

From my point of view, management has done nothing for its shareholders. There is no reason to buy the stock.

I bought 2,000 [[RIMM]] @ $96.15.

Disclaimer: If you buy RIMM because of this post, your refrigerator will explode. And, you may lose money.