Friday, May 27, 2011

Zero Chance of Getting Elected you say Mr. Trump?

I thought this recent 5 minute video from congressman Ron Paul might be enlightening. Of course, after listening to his speech it will be patently obvious why Donald 'mirror mirror on the wall, whose arrogance trumps them all' Trump claimed at CPAC Ron Paul has zero chance of getting elected.

Zero chance of getting elected you say Mr. Trump? Oh yes after watching the video below it is painfully clear how Mr. Trump could come to that conclusion. Ron Paul makes far too much sense to ever get elected with his current platform, but should Mr. Paul get with the already scheduled program and want to:
  • gut the constitution by supporting items like the Patriot Act (oxymoron of the century to be sure),
  • get tough on terror by kowtowing to the TSA,
  • declare war at will and
  • bow down as errand boy and servant to the elite oligarchy perpetuating their ponzi scheme,

then for sure he becomes an instant front runner. Yes very clear to me why Donald Trump says he has no chance.

Cash is Not an Option

No jobs? Not problem.
Bad economic news? No problem.
Lousy housing numbers (announced as I finish this post)? Absolutely no problem as surely the Fed will rescue us all with yet more heroin or rather more monetary accommodation for those Ivy league MBA's out there.

This is how it works until one day it doesn't. Then Cramer will come out crying on the propaganda network claiming "they know nothing" so that the Fed truly knows that they must ride to the rescue and save stocks.

Regardless, whatever you do just remember to keep buying stocks. Not just any stocks as that would be reckless, so buy defensive stocks, dividend payers. Yes, they will outperform. Can you imagine crumb chasers recommending anything other than cutting yet even more slices of cake? Can you imagine a crumb chaser to tell you NOT to buy stocks. That the market might eventually trade down?
Can you imagine a realtor-in-chief Lawrence Yun ever telling you its not a good time to buy a home? Neither can I.

Yes readers cash is never an option for these shills. The unspoken rule is that cash is useless. Useless to whom is what should be asked instead. You see you must always buy something or they cannot survive. Cash pays no commissions, cash pays no fees, cash in your account will not service their club membership, Sea Ray payment, Porsche payment nor their trophy wife.

Pay attention when your advisor recommends cash. Contrary to most on Wall St. who equate recommending cash with being stupid, or with being devoid of ideas, it may actually mean your advisor has your best interests in mind. Here is a novel concept fiduciary responsible, not that Wall St. would hire anyone that could spell the word let alone know what it means. They're too busy looking for Ivy league genius' who know that 2+2=6.

Housekeeping notes:

I was stopped out of my IBM short this morning at the opening and thus far high tick of the day 167.91 for a loss of 1 3/4 pts on 1 unit.

Good speculating to you all and please remember to never forget that "an investor is a speculator who made a mistake and will not admit it".


Open Positions:
Long 1 unit Direxion Large Cap 3X Bear ticker BGZ @ $96.70
Long 2 units Direxion Small Cap 3X Bear ticker TZA @ $60.30
Long 1 unit Direxion Emerging Mkts 3X Bear ticker EDZ @ $60.50
Long 2 units Direxion Financial 3X Bear ticker FAZ @ $98.25
Long 2 units Ultrashort Xinhua China ticker FXP @ $42.45
Long 1 unit Ultrashort Real Estate ticker SRS @ $49.10
Long 2 units Direxion Tech 3X Bear ticker TYP @ $52.60

Thursday, May 26, 2011

IBM - A Quick Glance


The chart of IBM, perennial institutional fund parking valet favourite, caught my eye today. Not that charts or analysis could ever compare to expert networks, co-locators, frontrunning, and BTFD (buy the f#$%ing dip)


When caught my eye in particular was:
  • the high tick of 166.97 (green hi-light)
  • low tick of 166.75 (orange hi-light)
  • and the low tick of 166.53 (purple hi-light)
the May 17 bar (purple hi-light) was particularly interesting as it gapped down thru the channel only to be 'stick saved' for a few more days. Yes readers in spite of all this the Wall St. banks can have ZERO losing trading days. Yes fundamental and technical analysis truly does work, doesn't it Raj et al.

That said, we appear to have broken through here today, although another 'stick save' by da boyz, cannot be ruled out I am still comfortable punting 1 unit short of IBM here at $166.39.


Good speculating to you all and please remember to never forget that "an investor is a speculator who made a mistake and will not admit it".


Open Positions:
Long 1 unit Direxion Large Cap 3X Bear ticker BGZ @ $96.70
Long 2 units Direxion Small Cap 3X Bear ticker TZA @ $60.30
Long 1 unit Direxion Emerging Mkts 3X Bear ticker EDZ @ $60.50
Long 2 units Direxion Financial 3X Bear ticker FAZ @ $98.25
Long 2 units Ultrashort Xinhua China ticker FXP @ $42.45
Long 1 unit Ultrashort Real Estate ticker SRS @ $49.10
Long 2 units Direxion Tech 3X Bear ticker TYP @ $52.60
Short 1 unit Int'al Business Machines ticker IBM @ $166.29 stop @ $167.81

Unfettered Capitalism

I came across this recent video promoting not only travel and tourism but also free market competition leading to unfettered capitalism pure and simple, in the great state of Tennessee. Absolutely makes me giddy, or to quote Chris Matthews, "I get a tingle up my leg" with the urge to pack up and move down there. Keep watching to the video to the end and notice the concept of competition among the various police, and here I thought capitalism was dead. This is a nothing story as the nation has much more important issues to monitor such as the Casey Anthony trial.


Wednesday, May 25, 2011

Royalty

There are days when I start to write a post and I simply stop then say to myself, "why bother?"
Isn't it all self explanatory? For the most recent example of the self-explanatoriness and further the extreme vitalness of Wall St. to the survival of our economy one need look no further than the Linked In IPO. (LNKD). Too funny, or is the dozen or so in the cue on deck waiting that is even more hysterical.


I came across an interesting piece (hat tip to the Jr. Deputy Bean Counter!) regarding former IMF chief economy wrecker Dominic Strauss-Kahn. For those more familiar with American Idol and Jersey Shore than the IMF no organization, save possibly the World Bank has inflicted more socio-economic devastation across the globe. Devalue the currency, raise taxes, rinse repeat. Now back to Mr. Strauss-Kahn, You can read the fine print of his contract at the IMF website here. It appears that in addition to his $500k salary and bonus, this professional trough suckler is entitled to approximately a $250k severance package.

Remember the chart below?


You should. Now in spite of the fact that:
  • I am no Ivy league MBA,
  • I am not smart enough to design and structure worthless derivatives based on even more worthless mortgages,
  • and I am not capable of selling any female relatives into sex slavery for a bonus, commission or deal
even this simpleton can figure out who is footing the bill for this maggots posh retirement fit for royalty.

Speaking of royalty I caught a couple of snippets of the interview CNBC had with prince Alwaleed of Saudi Arabia last week. The prince seems nice enough but I have one question for the prince and the CNBC crew of intellectuals. Is it really his money? You know that 19 odd billion that, Carl likes tossing around referring to as he licks the princes boots.

His net worth is supposed to make me bow down and blindly accept his astuteness? Did he get in on the Linked In deal Joe Mr. Kernan? Where did the prince's money come from? Did he earn it or did he inherit it from his dad the King's son?
This money which, correct me if I am wrong is Saudi state property. So isn't he simply the custodian of a sovereign wealth fund? Why are we talking like it is his money. Listen to the interview and hear him talk and you can see how much the prince thinks 'outside the box' The Fed did the right thing. raise the debt ceiling, bail out the banks blah, blah, blah. CNBC has become one giant propaganda sitcom, airing re-runs day after day. Any you wonder why I use the phrase parking lot valet attendant to describe so many of these purported finance professionals. Based on what is happening in Tunisia, Egypt, Syria, and Yemen, I strongly urge the prince to invest in counter revolutionary stocks.


Good speculating to you all and please remember to never forget that "an investor is a speculator who made a mistake and will not admit it".

Open Positions:
Long 1 unit Direxion Large Cap 3X Bear ticker BGZ @ $96.70
Long 2 units Direxion Small Cap 3X Bear ticker TZA @ $60.30
Long 1 unit Direxion Emerging Mkts 3X Bear ticker EDZ @ $60.50
Long 2 units Direxion Financial 3X Bear ticker FAZ @ $98.25
Long 2 units Ultrashort Xinhua China ticker FXP @ $42.45
Long 1 unit Ultrashort Real Estate ticker SRS @ $49.10
Long 2 units Direxion Tech 3X Bear ticker TYP @ $52.60

Good speculating to you all and please remember to never forget that "an investor is a speculator who made a mistake and will not admit it".


Open Positions:
Long 1 unit Direxion Large Cap 3X Bear ticker BGZ @ $96.70
Long 2 units Direxion Small Cap 3X Bear ticker TZA @ $60.30
Long 1 unit Direxion Emerging Mkts 3X Bear ticker EDZ @ $60.50
Long 2 units Direxion Financial 3X Bear ticker FAZ @ $98.25
Long 2 units Ultrashort Xinhua China ticker FXP @ $42.45
Long 1 unit Ultrashort Real Estate ticker SRS @ $49.10
Long 2 units Direxion Tech 3X Bear ticker TYP @ $52.60

Monday, May 16, 2011

Chore Week

Discovery Channel has Shark Week. Last week at our house was Spring Chore Week so my apologies for lack of posts.

Did you catch tax cheat Treasury Sec. Tim Geithner has now predicted double dip if congress fails to lift debt ceiling. Sure. I am shocked he didn't use the world Armageddon like his predecessor Hank Paulson loved to. Maybe Paulson has trademarked and copyrighted that word already? It never could be that debt piled upon debt stacked upon yet more debt could cause a double dip let alone a full blown debacle right? Pathetic lackey simpletons the lot of em'.

IMF head staying in $3k/night hotel rooms now accused of raping a maid. A Danielle Steele novel maybe? No, just another day in the Great Ponzi. The ink isn't even dry and we have CNBC windbag chief Jim Cramer tea bagging JP Morgan alum Lipsky for the job now, are you surprised? Does it get any better than this.

Sure it does. CNBC has a countdown clock to Strauss-Kahn's arraignment. Just make sure you keep wondering why I unload non-stop on this group of maggots. By the way did anyone if CNBC mentioned that this all has to be super bullish for stocks? Just checking. Hey maybe the U.S taxpayer should fund more entities like the IMF since they do such noble and necessary work to the survival of our species.

And yes, as the chart below shows, it is you, the U.S. taxpayer who finances Strauss-Kahn's lifestyle.



Hmmm, lets see... who would I have more respect for? No, check that. Who has more intrinsic economic value? The cat who shoes horses, lifelong public tit sucking, trough swilling, flying and staying first class all while gambling other peoples money and futures IMF, World Bank, Federal Reserve finance thug? I'll give you 3 guesses and the first 2 don't count. Hey, lets just ask a brilliant CNBC anchor the answer and be done with it. That is if they can take a moment away from promoting their book to answer the question.


Have you been following the Barnes v The State of Indiana situation closely? Just in case you have been too busy watching Dancing with the Stars, the Indiana Supreme court recently ruled that a home owner you can no longer refuse police entry into your home. Illegal or lacking any probable cause, it doesn't matter. Su casa es mi casa. You may want to rethink laying that nice expensive carpet down anytime soon as I am sure the SWAT boys will not be taking off their boots when they visit you. Gotta love a police state. You know the kind that makes you feel secure, warm and fuzzy.

Kinda like this....




While on this topic have of police state, you might want to have a peek at Wendy McElroy's piece It Can Happen Anywhere over at the Ludwig Von Mises site. Then after you do that you may want to pick up a copy of her recommended reading Defying Hitler. I just received my copy today.

Under the topic of same ol', same ol' Matt Taibbi has another article out in Rolling Stone entitled The People vs Goldman Sachs. Matt has done great work exposing Goldman for what they truly are, and no they are not doing God's work no matter what Lord Blankfein says, most are just becoming de-sensitized to the whole thing. Simply my 2 cents.

Tuesday, May 10, 2011

History Revisionism, Full Time Sport

It does appear that history revisionism has become a full time sport today. Yesterday I posted regarding a letter penned by True Finns party chairman Timo Soini. I had a link to the article as it was in the Wall Street Journal. It has been brought to my attention via various outlets, in particular Karl Denninger, Zero Hedge and a few readers (thx J.T. and R.L.) that the WSJ has decided to heavily edit or scrub the original piece by Mr. Soini.


Zero Hedge has produced the original letter by Mr. Soini to the WSJ here and which shows the now heavily edited new and improved for family audiences version.
Like I said yesterday

"I don't know much but this much I do know, the facade is crumbling. It has taken much longer than any of us ever could have thought possible but crumble it is. The temple is so rotten, so putrid, the rot so pervasive, that only the most brain dead among us can still deny it.

For those of you that have not done so I heartily suggest you read Strauss and Howe's The Fourth Turning. I would especially do so were I still working on Wall St."

These pathetic little toads in charge and their water carrying, edict obeying eunuchs posing as the free media are a sight to behold. It will be quite the scene when the prozac laden zombies awaken from their stupor.

Monday, May 9, 2011

Hey....This is My Elbow !

Some individuals are born knowing which part of their anatomy is their ass and which part is their elbow. Unfortunately many others are not. Sadly for most of us, many of this second group gravitate to politics and to government for their sustenance. Many of these traverse through life content to feast at the trough of the toils of others never knowing up from down, left from right and whether they are scratching their watch or winding their ass.

It seems a few around the globe are awakening from this stupor, this virus of idiocy, complicity, heck, put any adjective you want there as it has a high probability of being correct. Today the Wall Street Journal carried a piece by one such zombie who has woken from his trance and found his elbow. Finnish politician and True Finns party chair Timo Soini has penned a piece entitled Why I Won't Support More Bailouts.


"Europe is suffering from the economic gangrene of insolvency—both public and private. And unless we amputate that which cannot be saved, we risk poisoning the whole body."

Really Timo. You only now figured this out? Should I simply be happy you finally grew the onions to say this out loud. I shall give you the benefit of the doubt and offer congratulations and remind you to google search the word quarantine for this simple blog to see how many times I have harped on about this exact issue, INSOLVENCY !

"The official wisdom is that Greece, Ireland and Portugal have been hit by a liquidity crisis, so they needed a momentary infusion of capital, after which everything would return to normal. But this official version is a lie, one that takes the ordinary people of Europe for idiots. They deserve better from politics and their leaders."

Hmmm liquidity versus insolvency. I wonder where I have heard that before. Helllooo McFly !!

"At the risk of being accused of populism, we'll begin with the obvious: It is not the little guy that benefits. He is being milked and lied to in order to keep the insolvent system running. He is paid less and taxed more to provide the money needed to keep this Ponzi scheme going. Meanwhile, a kind of deadly symbiosis has developed between politicians and banks: Our political leaders borrow ever more money to pay off the banks, which return the favor by lending ever-more money back to our governments, keeping the scheme afloat. "

Ponzi scheme huh. Of course when you lie through your teeth spewing the propaganda you've been fed you're a prize winning journo on CNBC but when you're an idiot blogger (right Caruso-Cabrera?) and state the patently obvious you are just an asshole who doesn't have to justify your sources. You're an anarchist if you disagree with the elites version of socialism. Better yet, lets get tea bagger in chief Bob Pisani to chase down his expert network of crumb chasing ants on Wall St. to ask why the bailouts are so good and prevented catatophe and armageddon. How about we get yet more insight from the sociopaths at the top for their view.

Regular readers know I love and respect ol' Art Cashin but do you really think ol' Art can come out and speak the truth? You think he can state anything other than the party line that we gotta forgive, forget and move on? As bad as this all is its gets worse. Mr. Soini goes on to state;

"The money did not go to help indebted economies. It flowed through the European Central Bank and recipient states to the coffers of big banks and investment funds.

Further contrary to the official wisdom, the recipient states did not want such "help," not this way. The natural option for them was to admit insolvency and let failed private lenders, wherever they were based, eat their losses.

That was not to be. As former Finance Minister Brian Lenihan recently revealed, Ireland was forced to take the money. The same happened to Portuguese Prime Minister José Sócrates, although he may be less forthcoming than Mr. Lenihan about admitting it."


You catch that? They didn't want the help, they were forced to take it. A word comes to mind... its called extortion. But what would I know. I'm not from Harvard or any of the other financial sociopath factories.

I don't know much but this much I do know, the facade is crumbling. It has taken much longer than any of us ever could have thought possible but crumble it is. The temple is so rotten, so putrid, the rot so pervasive, that only the most brain dead among us can still deny it.


For those of you that have not done so I heartily suggest you read Strauss and Howe's The Fourth Turning. I would especially do so were I still working on Wall St.


Housekeeping notes;

Thursday of last week I was stopped out of my Darden position at $49.71 for a flat trade.

Good speculating to you all and please remember to never forget that "an investor is a speculator who made a mistake and will not admit it".


Open Positions:
Long 1 unit Direxion Large Cap 3X Bear ticker BGZ @ $96.70
Long 2 units Direxion Small Cap 3X Bear ticker TZA @ $60.30
Long 1 unit Direxion Emerging Mkts 3X Bear ticker EDZ @ $60.50
Long 2 units Direxion Financial 3X Bear ticker FAZ @ $98.25
Long 2 units Ultrashort Xinhua China ticker FXP @ $42.45
Long 1 unit Ultrashort Real Estate ticker SRS @ $49.10
Long 2 units Direxion Tech 3X Bear ticker TYP @ $52.60

Thursday, May 5, 2011

Post Steroids?

I was poking around some charts the last couple of days, not that any of them are of much use anymore. So many patterns have been blown up, what with, QE 1, QE 2, errr ahhh QE 3, high frequency trading, Big 5 front running, expert networks etc. who knows what else. What was that phrase again from Jeff Macke, oh yeah, "the market is in stupid phase but you can make a lot of money during stupid". Funny how he didn't mention how you can get your clock cleaned during stupid. Maybe it was just an oversight on his part. Would one really expect anything less from a paper pusher like this?

Given all the market interventions and machinations by the all-knowing, high priests of the money temple and the influence said interventions have on the Pavlovian parking valet attendants at the helm of institutional money world wide we get similar market results that say a body builder with steroid enhancements might experience. Say, maybe like this.


Forget the legal or not aspect of the 'roids' the fact remains result is Mr. Olympia 7 times and a market doubling off the lows. It would behove us to remember these are short term enhancements and they can not and will not go on indefinitely. At some point the laws of human anatomy or monetary physics will set in. The math as they say never lies. People do. These machinations will end when they end and of course reality will set back. Post steroidal. Say, maybe like this.



Something to consider while the pundits extoll the virtues of this cheap market and you are scheming ways to make a lot of money during stupid.

While poking around the charts one I came across was the GDX. Been thinking some about how the pm stocks have been lagging the bullion (negative divergence). I believe the longer term views weekly and monthly are still more reliable so lets have a look at the weekly on the GDX (below).


We are out of the pink channel now which implies a target of about 50 which would break the midpoint of the double top (??) at 52.5 which would then imply a target of about 41.

Wednesday, May 4, 2011

Yet More Random Thoughts

Mike Adams operates a great site Natural News.com which should be on your regular visit list. He recently put out an interesting piece called 14 signs the collapse of our modern world has begun. I realize many will consider the title a little 'over the top'. I also realize that for so many the cancellation of All My Children and One Life to Live is much more important issue to discuss than any of Mike's 14 points. Heaven help us if the networks go one step too far and cancel Jersey Shore or American Idol which would most assuredly bring out the citizenry en mass with pitchforks and torches demanding scalps. Maybe you can reserve judgement a few moments until you read and consider all his points.

In other news it appears we have a much more serious, potentially catastrophic crisis on our hands. No it's not the crushing national debt load, nor is it the dollar. Forget Fukishima, as well as Iraq, Afghanistan and Libya. No it's not the Waterfall TALF Opportunity fund for Wall St. trophy wives nor is it more of the seemingly endless fallout of the mortgage mess. No, readers this is much more SERIOUS. It appears there is Shortage of ADHD drugs which has sent parents scrambling. Yes the trance so many of the our nations zombie children, and adults for that matter, walk around in may be wearing off. Can you imagine what the teachers union will have to say about this?!

Speaking for myself, I can only pray there is no shortage of the new drug Reachemol that I have recently started taking. You see I went in to see my doctor for my predicament, I am not a very popular blogger. I was petrified that my physician was going to recommend healthy eating, exercise, a positive mental attitude. Thank goodness he didn't suggest any of that as he simply wrote me a script for the new miracle drug which will answer my prayers.

REACHEMOL™ (popularitus maximol) is the only prescription medicine clinically
proven to treat Deficient Popularity Disorder (DPD). In all but the most severe of cases,
REACHEMOL™ will increase your popularity so much that people will actually like you,
instead of shunning you like an Old Testament leper.


Now I had my doubts before taking Reachemol given its claims to:
• Increase popularity
• Boost self-esteem
• Become more attractive to the opposite sex
• Win elections
• Sway juries
• Weasel your way back into the will

Sure I thought. Then I worried about the side effects which are:
• Narcissism
• Justin Bieber
• Pregnancy
• High blood pressure, cholesterol and self-esteem
• Blindness associated with Paparazzi attacks
• Sexual Exhaustion
I thought gee that's okay I guess. Besides my doctor says I need it and it sure beats eating right and exercising. I am stocking up on Reachemol today cause I don't know what I would do if they ran out now that I'm hooked on it.

For those not aware Reachemol is a fictitious drug. I am NOT taking Reachemol. I am dealing with my unpopularity the old fashioned way, cold turkey. Reachemol is being featured as part of an Adams outdoor billboard campaign they are running locally here to show the power of advertising.

The Markets

What does one say about this market? The facts are there yet so many, most especially the cheerleaders on Wall St. and the financial media, choose to ignore them, gloss over them, or distort and then spin them into a positive light. Reported earnings are revered until they stop delivering (think dotcom/tech bubble) so the metric is changed to operating earnings as justification. Earnings are important until they stop impressing then switch the metric to gross revenues.

Things like the facts don't matter until all the naysayers are completely and thoroughly discredited and suddenly all the former cheerleaders go silent. The facts do matter one again. We have seen it before so many times as to almost be comical. Lets look at something I am very fond of, gold and silver. I have no position in either right now. I am no way shape or from claiming in any way claiming gold and silver are in a bubble. I hope I have made myself clear so there is no misconceptions.

Is it me or has anyone else noticed the seemingly universal bullishness for the precious metals. So are you shocked that your broker started calling you the last few months to recommend you buy gold and silver here? Better yet, make that the gold and silver shares. They have the leverage.

Really, are you shocked? Of course now don't forget the energies. Wall St. has gotta love them too, heck they're rising, plus you need to balance out your portfolio.

Funny how that same salesman, sorry I meant to say advisor/consultant, that poo-poohed owning the precious metals back in 1997-1999 when gold was sub $400/oz. and silver sub $8/oz. Or crude sub $15/bbl. Yes they were garbage back then, besides, they were too busy hounding you to buy their priority list picks iof the day, names like Nortel, Cisco and Dell.

Lovely! Oh, please don't forget to sprinkle in a little JDS Uniphase, some Inktomi and Razorfish as well.

Yes Wall St. loves a winner but only after everyone and their 5year old nephew knows it's a winner.... like say the Yankees right now. You think Wall St. woulda told Mr. Steinbrenner to buy the Yankees back when he did. Ha ha!!

Just remember this when the shills come on CNBC telling you what looks good.