Greed is not good...sorry Geckko

Apparently making a 300% return on our option trade in a week was not good enough for us. We were convinced we had a 80% chance at a 1000% return in 6 weeks. It didn't work out and we let our options expire worthless. It was so close that it came down to the last day May 16th. We bet huge and took a pretty big hit to our speculative account. Oh well. We will trade our account back up and go back to options.

What the Technicals are saying....

Opinions aside, It's really all about what technical analysis is saying. Some have said as much as 70% of the volume are Algo's and trading programs that are "reading" the markets and buying/selling accordingly. They have no emotion. Our trade programs continue to indicate strong sell across the boards. The charts can be "painted" for short periods of time. The momentum has stopped and fundamentals always win in the end. We are not short because we have an opinion on the market, we are short because our technical trading programs are flashing warning signs across the board. Our computers  trade a lot better than we do! We designed them that way;)

The False Flag

We heard some ridiculous rumor that "The Bulls" are behind the fear and crash warnings. The media is scaring the public. Why would "The Bulls" do this? Because investors have been taught that the bears are never right and stocks climb a  "wall of worry". It's a "False Flag". The Bears are not trying to push stocks down, The Bulls are trying to make investors "think" they are. Thus, it will make the donkeys buy more at any price. BRILLIANT!

Meanwhile back at the ranch.....Institutions have been net-sellers all year. 

Beastie Boys Song!

Ali Baba and the 40 Thieves, Ali Baba and the 40 Thieves, ....They are trying to hold the market together for this ridiculous IPO. The largest IPO in history on this POS! We have to laugh. Wall Street will make a large fortune off this deal if they can hold the market together. The IWM ETF and small-cap growth stocks are getting crushed and they are still extremely expensive. The Russell 2000 will break all support soon. Almost 1/2 the stocks are in a bear market and "The Index" is on tissue thin footing. "How long do you think a wet, single-ply piece of toilet paper will hold up the 10-ton Elephant that is tight-roping across The Grand Canyon"

That statement says it all. Back to the music...Ali Baba and the 40 Thieves...We love The Beastie Boys tunes.

We wouldn't even consider 90% of all stocks in the market right now. It would have to take at least a 15% correction in all equity indexes to even glance at stock prices to see if we even want to take a gamble. If it doesn't happen soon, take the spring and summer off and enjoy the weather. Wall Street will;)

Hmmmmmm.......Lol!

We have asked if a CFA would really buy the IWM ETF with their own money. This is an index of small company stocks that have appreciated substantially above all measures of standard deviations. The valuation is quoted as high as 80+ trailing P/E to much lower. No-one really knows for sure. Try to get a definitive answer. Just try. The thing is - they wouldn't. It is not their money. Look at the quality of Bulls that are speaking on TV. Hmmmmm....Lol! This thing is due for a slam to the 200-day  moving average (on a weekly basis) of  $95 or at least $100. It is $112 now. We are thinking by May 17th. It will be fast. Thanks HFT!