Thursday, February 19, 2009

I got your stimulus...right here, buddy!

My gawd, I've seen enough, and it's enough to make me puke all over myself, all kinds of chunks of colorful stuff. Like a rainbow, only disgusting!

They will Nationalize the banking system as I've discussed here and all over the place many times now. Unfortunately it'll be after throwing 10 TRILLION into the gutter. As usual our powers that be are way behind the curve and figure things out well after anyone with 1/2 a brain has figured it out.

Berkshire Hathway hit our 1st target of 2500 today. Once it loses that level it should see 2000 pretty fast. Any bounce on this stock is a short, period. When it goes bankrupt you'll know the only person in the world who made that call. You still have 2500 points to make on it, so go to it! Yeah, yeah, I know, I know, I'm a looney, I keep getting the same dumb enough from one of my non-fans saying "12,000 before 5000!"

Ah-huh, sure thing toots! As always, it doesn't matter anyway, just keep trading. I sold all my GOLD futures today around 980. I think it'll pull in here, but even if it doesn't who cares, I basically rode it from 870 to 980, that's a nice enough move for my tastes.

So, the question now is, when do we get a meaningful bounce. I can't honestly tell ya, but I think a real one won't come til we get crushed below 7000 at least. Then perhaps we can get a bounce, depending on the news of the day. The REAL bounce will come when the government actually does Nationalize the banks. I think that will help the markets in a big way, even though that bounce won't last either more than likely. Perception is everything and the perception will be, when that happens, that the bad sector is now a non-issue, so we can move forward. So, that's where I'd be looking to buy some stocks for a nice long trade. For now I stay short if its anything more than a day, and longs are merely an intraday trade.

Did you see the insurance stocks? Wow, they are CRACKED. I think SPG and VNO, hence SRS long, have a lot more downside. I can see SPG bankrupt as well, they run a lot of malls and they are hurting, plus they have a heavy debt load. Any stock like that in the $30s is tasty to the short side, ya know?

It's time for those of you on the sidelines to move off the sidelines and start trading like champs. I'm already up about $1 MIL on the year and it's not even March! I don't want to get my hubris going cause I can get my teeth kicked in by the market (I'm supersticious, fyi), but this market really is raining money and it's time for YOU to cash in! So, get off the sidelines and start racking up! EVERYTHING we do is working in this market. Obviously there's never any guarantees, but facts are facts and many of our clients are KICKING MARKET BOOTY! SO, wake up and smell the WAXIE! Sign up NOW!

Ninja or Options Trader,either will do. We are rocking - ALL!

Stimulus package is a total washout, all these programs will go down in history as the worst ideas we've ever had economically. I'm laying 10 to 1 odds that Obama doesn't get reelected in 4 years. All that promise unfortunately is washed down the tube because of the horrible choices he's made for his economic "team" a bunch of lame-o's, to say the least. A crying shame. It's hard watching our country laid to waste by know-nothing politicians.

I read today that Zimbawe is printing up $100 TRILLION bank notes now, their worth? $30 US!

They have 98% inflation a day.

You know what? Don't laugh, we've being led down a very similar road, my friends. It is very scary indeed.

On that happy note - RULE!

And, if you haven't done so already, BUY MY NEW BOOK!

RULE YOUR FREAKIN' RETIREMENT by me, Michael Parness

It's available now on Amazon, order it now!

WAXIE

8 comments:

mauiman said...

yeah, were all screwed. I agree. we could see dow below 7000 end of this month. These economic plans are horrible.

That just makes us think..what will happen to the markets, when they find out the economic plans don't work?

mdp129 said...

waxie.. you are my friggin hero! i too, am very dissapointed with O's choices to date... it now appears that only TIME will turn this country around. they've thrown the entire kitchen sink at the problem hoping for a quick fix but the reality is.. there is no quick fix for over capacity. with baby boomers leaving the market, taking what is left of their retirement.. what will prop this market up? Nothing!... and its going to be a long haul for many folks living on the edge. scary times indeed. if the wife and i lose our jobs - we're leaving the country.. packing up and heading south. might as well live in a third world country if we're headed there anyway.

btw; this was my positive take on things.

jer-d said...

Hi Waxie,
If the banks are nationalized wont the shareholders be wiped out.What will that do to FAZ and SKF ? Also do you think that there is a good chance Giethners plan might include suspension of mark to market?

Thanks,

JD

In Debt We Trust said...

Academics prove that shorting Jim Cramer's picks actually works! (most of the time).

This paper is somewhat dated but still useful in its insight. Skip to pg. 25, 31, and 32 to see the results.

http://papers.ssrn.com/sol3/papers.cfm?abstract_id=870498

*Note I am NOT the author(s) - just came across this while doing some research. Thought you might be interested.

peter said...

Hi Waxie,

Nice job on your own trading! Congrats on being up a million. I would like to get off the sidelines and buy one of your newsletters as you suggest but I would like to see your published results for your newsletter recs... are your results published anywhere ? - thanks

peter said...

I would like to get off the fence as you suggest and buy one of your newsletters buy I would like to see your published results for your recs.... is that info published somewhere ?

Rich2274 said...

Market is basicly cut in half by the highs. Its too to short this late in the game right?

Rich2274 said...

Question Waxie. the DOW is cut in half. You say you can make money on volatility. How can you make any more more shorting now? I mean yes this week SKF did well as well as SRS & FAZ. But being that we are so close to wherever that bottom is, how could anyone jump on those SKF SRS & FAZ wagons again? Yes, from Sept to present You could of made a fortune shorting but isn't that CHA CHING OPPORTUNITY gone? You don't want to be a bear getting his face ripped off. I mean if SKF got back to 120 in a week (for example) wouldn't you be afraid to get on/ Could it get back to 200 again as the Votatility is gone? I mean we are not getting those 600 pt down days & 900 intra day swings anymore. That was a once in a lifetime opportunity that I feel is gone now. Your thoughts?