OK< so we all knew GS was gonna blow out the estimates, all the banks are, the rules are such that they don't have to write down anything, and if you read between the lines it's really horrible earnings.
Having said that, what's it matter? All that does matter is that what these insolvent companies trade at for us. I've always called myself a "tool" in terms of trading, I'll trade any stock any which way if it makes sense for us to play and make money. We had MS for a super duper Options Trader play into today's GS earnings. We sold it before the earnings, fyi.
We are close to a blowoff top. I'm hoping for one more push and then I think you can safely short the financials for a trade. Where they then go I won't even dare guess at the moment. I do think that the government is going to have to DEflate these stocks. The public is not going to be happy to see all these companies stocks soaring while the country and it's average citizen's suffer. They have created yet another bubble, congratulations! Awesome!
OK, you've all heard it before so I'll refrain, but I'm not the only one, there are a lot of others incensed by these shenanigens.
GS now says they want to pay the Tarp back the $10 BIL they were given to keep them solvent. Great! WOWSA! Awesome! Why? So they can pay themselves their sick disgusting fees! Why not give the taxpayer some fees? Freakin' insanity if ya ask me! Hehe. Well, I'm laughing on the inside cause it's NOT really funny, its pathetic. Borrow taxpayer money to save yourself and then have the government rig the game so you don't have to take any writedowns and see your stock go up to $132 today for no reason whatsoever, and then give the money back so you can go back to the same practices that got us into this heep of trouble to begin with! Nice, that makes a lot of sense, truly. When is someone in government going to call these guys what they are? $18 BIL taken from taxpayers that they won't give back, $10 BIL to save them from taxpayers, end mark to market to save them, and what do we the taxpayer get? Nada. Nice deal. It's great to reward the same companies, particularly GS, who helped create ALL these problems. Awesome, why don't we let Charles Manson do family therapy, it's on the same level. I wish I didn't have to watch this all day, but I do, so all I can do is try to make money and ignore it. You guys and gals see how well I'm doing ignoring it, hehe! ROFLMAO! Not very well, I know.
Hope all had a great Passover and Easter! I can not believe Mark "The Bird" Fidrych died. I don't have a ton of great childhood memories, but his antics were some of them. I hope he rests in peace, prayers out to his family and friends, it's a rare for people to touch people they don't know.
Today is an important day, believe it or not. Either we truly bust out, or the financials pull in heavily and we get a trend down day. That's the way I see it. My guess is that if we gap down, like we are now, we probably fade that, and then I would pick lower here by days end. How low is tough, but for those that keep asking me when they should buy FAZ, well, it could go to $5 or lower, but some out of the money May or June calls are looking mighty tempting here. It may be too early, but I'm finding it hard to believe that the government is going to sit there and let these banks keep going up. I think they know that there will be hell to pay at some point. I'm guessing that at some point they will reverse some of these STUPID IGNORANT MORONIC "rules" and the banks will crash again. Maybe, maybe not, I'm not betting heavy either way here, this is one of those times where I am just waiting patiently to pick a spot either long on a breakout, or short if we can't hold these levels. Right now futures are down pretty heavily, though nothing too dramatic. WHo didn't know that GS would "blow out" and I do use that wording loosely since its absurd. They made all their money on trading revenues. GS isn't a trading firm, so that can't last long. But, who cares, maybe it gets driven to $250 or $300! Wheee!
Let's see what shakes, remember that when in doubt - do nothing! It'll be interesting to see when we do pull back soon if it gets bought right away or we die a bit and then get bought. I doubt we just go right back to lows, I think we have some more upside before that happens. We'll see soon enough!