Why are we trading in Chinese and Russian

Internet companies? QIWI and QIHU? Because we rather trade in those foggy, funny, and fuzzy markets than in the high valuation US internet markets. Lol! We like the charts and the potential upside seems ridiculous.

Are we crazy?!

Short NFLX? Yes-at $435.50 today. We know valuation logic doesn't apply to certain internet companies today (Twitter, LinkedIn, Facebook, Netflix, etc..): however,  Netflix seems the most ripe for a fall. We just don't get it  -they are like a virtual "Blockbuster Video"  from back in the day. No barriers to entry, still dependent on mailing DVDs for a large chunk of profit, and an extremely price sensitive customer. We saw what happened to the last time they raised prices...Good Grief!

1. Nobody recommends shorting it anymore- they all got crushed a 100 points ago.
2. Our computer program picked up a "head and shoulders within a double-top formation".
3. It has a well-defined  small stop-loss point with huge upside potential.
4.The risk/reward is off the charts.
5. It's shares are 90% owned by institutions at a much lower price. Who's left to buy and who will be left holding the bag? Carl jumped out a lot lower...We are following him. Are you?

We like our odds.

Trade Alert: Shorting Netflix now.

Off to Russia!

It seems a company in Russia caught our eye. It follows our current theme of trading tech outside of the USA. We are going with QIWI. Good story and I like the opportunity they have in Russia. We initiated a position at 41 today.

QIHU closed at 104.25

We made a nice recovery trade here. Played it from 95 to 104.25. Still like it; however, we are going to take advantage of the Jefferies upgrade today and cash out for now. Stay tuned.

Chinese Internet Companies Trade Opened

Qihoo 360 Technologies. Hear of it? We didn't until last week when it kept going by the ticker. We did a lot of research and we love it. Check it out and you will love the story. Sure-investing in Chinese companies can be "full-disclosure hazardous"; however, that's the market.

FaceBook Trade Closed

Done with social media for now.

Twitter trade closed

Had to sell today at 53. We crunched some of our own numbers and decided to run away from this stock. What were we thinking in the first place?! Our biggest loser in  12 years. Can't bat a 1.000. We can make it up pretty quick.

Whack!

The "lol" is on us. We guess valuation did matter. I was not surprised Twitter got whacked after earnings since earnings reports are a 50/50 coin flip. What I was surprised at was that the technical formation was at a 75% chance of a pop and it went the other way. We play that formation 10 times and normally hit about 6-7 times. We liked the results they posted. We are going to hold for awhile and let Wall Street crunch some numbers. Not too happy we paid 63 for something we could have bought for 55 in the after-market tonight. Not exactly good trading;)

Icemeggedon and social media

The Atlanta Icemeggedon 2014 was incredible. Atlanta shut down and the 2-inches of slush froze in minutes. I had to abandon my car and walk home. You heard the stories. But- during the disaster, people turned to Twitter and Facebook to communicate and solved huge problems. Even the police and local government officials said to use these sites to communicate. I was amazed. Our entire way of valuing these companies changed. We thought that they are now a bargain at these prices  and we must Buy! Buy! Buy! We did in a HUGE way. Not to mention the technicals and relative strength look great. They are not cheap by standard measures:however, trading isn't about valuation-It's about perception. If I know Wall Street, these stocks are going a lot higher - what are they gonna buy, Apple? Lol!

2014 Trade 3: Bought Facebook FB

Today with the proceeds from FSLR for 61.48. It is much better positioned.

2014 Trade 1 Closed: Sold FSLR

Still like it; however, this is no time to play value or relative value. Took a very small loss and swapped it into high growth.

2014 Trade 2: Twitter (TWTR)

Check emails for details. Bought today at 63.67.

2014 Trade 1: First Solar (FSLR)

Like the sector, like the valuation, and like the technical pattern. Bought large position at 50.26 with a quick target of 75. Volatile stock- will stay alert..

Happy New Year!

Happy Trading in 2014! This is the year of HUGE profits. Print it. I want to congratulate one of our readers "Schmitt in Connecticut". He made a great call on gold that went from 25 to 40 in about 4 weeks! Wow! We were going to follow his lead but got too greedy. He called the perfect bottom.
Keep the tips coming;)

Ouch!

We got crushed yesterday. Like many others, we bet that the market would get slammed yesterday and got completely run over! We should have just stayed in Groupon. Dumb move. It wasn't that we lost the bet that irks us, it's that we got so greedy. We wanted the 100% return this year and we went for it. The trade was dumped at $8.03 from a cost basis of $9.09. We bet big. We lost all our profit from last week that was made on Groupon. Still up 32.19%  for the year and in %100 cash. We could have cashed out with a 76% gain for the year; but, wanted to go for it. This account is used for aggressive speculation, not portfolio management (that's too easy). Stay tuned for the next play.

Tesla: Update

We still have not purchased any shares since we sold them at $194 earlier this year. $120 was our initial target for re-entry; however, we got a little greedy trying to go for $108. It jumped so quickly that we decided to play Groupon. We will be tracking the trade for an entry point. Stay tuned.

Trade Alert: Short-term Market Top

We are betting on large swings in the market going into the end of the year. We have aggressively been purchasing TVIX today. Our cost basis is $9.09. This is the best formation we have had all year in this ETF. Check emails for report.

GROUPON: Trade Alert:

We sold today for $10.31. Why? When you are up 14% in 5 trading days and your trucks are loaded to the hilt on full margin, you cash out! It was one of our best profits of year (70,000 Cash Units and 140,000 Buying Units). We love the story and we are good at trading it. One of our golden rules is to find stocks that you can trade them as if you are the market maker and collect the easy money. We will look to rebuild our position in this stock as quickly as possible once this rapid gain consolidates again or stabilizes. Check emails for report.

BUY ALERT: Groupon!

We had the trucks all backed up for Tesla and decided to use them for Groupon yesterday. We loaded up at  $9.11. It was not our intention. We were waiting for our price on Tesla and we just could not help ourselves. We love the story and we love the technicals. Check emails for full opinion.
Target continues to be $16/share.

When Atlas Shrugged - Tesla

The trucks are backed up and ready for loading. The question becomes the price to pay for the shares. We already have our entry point picked out. The stock is still in the hands of the shorts. I have both driven and sold many electric cars. I can tell you that consumers love them and Tesla is years and years ahead of the auto industry. The auto industry pays billions to media in advertising dollars and to political groups. This creates the scenario Ayn Rand wrote about one of my favorite books. The question is - how much short-term damage can they do? Let's just say that we have not purchased a share yet;)

Who is John Galt?

Better than expected!

 This is turning out to be the trade of a lifetime! Our computers stopped us out "flat" on the Tesla trade. This is awesome! The Pros have hold of the stock. Great chance at backing up the truck! Check emails for targets. This is going to be one of Stock's many legendary calls;)

Three-Card Monte! The Tesla Trade

While everybody seemed to be distracted by The Twitter IPO, Tesla reported fantastic results. The Momo guys sucked the speculative money out of the best companies to "Flip the Bird" ( Get in on the Twitter trade), throw in some dramatic BS car fire headlines, and shake the tree. This left Tesla Stock as an absolute bargain. We are backing up the truck on Tesla during this entire shell game. Started loading the truck today with shares at $137. We will be buying as much as well can no matter how low the momo's swing it. Our 12-month target is $240/share. If people have a problem with our valuation, they can tweet about it.

P.S. The full details of our analysis have been sent to client emails.

Trade Update: Groupon

We sold today at 9.48. Not worth the risk. Market trend has been to sell the news. We will stand aside. Who are the idiots buying twitter?

Trade Udate:Jumping on Groupon! Again!

We are trying to accumulate as much GRPN as we can. We mentioned to readers we were buying the stock today at $9.17. We were going to wait for $8.85; however, we now think the stock is going to pop huge after they report earnings on November 7th. We will try to buy more before the cat's out of the bag. Their new website and 5th year anniversary are going to be great! Love the new talent they hired earlier this year! They are shaking things up!