Posts Tagged ‘Breakdowns’
I Like Paul Farrell, America Is Going To Hell & Taking Value Investors Down With It!
Wait, there’s a good article on Marketwatch?!?!?!? At first, I couldn’t believe it myself. Other than TH’s trading war stories, I haven’t seen anything useful on that site since the Nixon era. But now Paul B. Farell has got my attention, and my respect, for writing THIS article entitled “11 reasons America’s a new socialist economy”.
After all, it doesn’t really matter what you believe politics- or investment-wise, the fact of the matter is our country stopped being great and now everyone’s scrambling around to figure out where we went wrong.
The incompetent SEC is trying to skapegoat short sellers (FYI prohibiting a free stock market and trying to save suicide kings like Federal National Mortgage Association (NYSE: FNM) — Fannie Mae — and Federal Home Loan Mortgage Corporation (NYSE: FRE) — Freddie Mac — screams socialism.
And investors, specifically sissy value investors, aren’t helping as their flawed ideaology is losing sheep-like, marketing-gullible investors prey billions as their “long-term investments” in bumbling behemoths like General Electric Company (GE) & American Express Company (AXP) goes straight to ____________ (fill in with the derogatory word of your choice).
Blah blah blah, enough of me whining, see some of the article’s snippets below to see how much better of a whiner Farrell is:
Why I Just Shorted A Sleepy Company Called Zynex Inc. (ZYXI)
So much for Thinkorswim disallowing the shorting of OTCBB stocks as I reserved 2,000 shares of ZYXI to short early this morning (latecomers got no shares as TIMalert subscribers grabbed the all borrowable shares…
Given that its chart was eerily similar to similarly crappy company UBHI, which dropped nicely off its highs, I tried shorting into the morning panic around $3.30, but discovered my Thinkorswim rep had mistakenly inputted 200 shares instead of 2,000 shares into my account so I had to login to their handy chat program and fix that mistake. Unfortunately, morning panics are quick so by the time we got that straightened out, the stock had tanked all the way to the $2.90 area…bastards…but manual ‘fat finger’ mistakes do happen, you just gotta accept it…
The Economist Knows What Evil Lurks In Fannie Mae (NYSE: FNM) and Freddie Mac (NYSE: FRE)
I really wish I could stop writing about FNM and FRE, but the implications of their current situation are just too great to ignore. THIS new Economist article details their problems well so that even the dumbest, most financially illiterate of you out there can understand that these government backed monstrosities could very well take down our economy, and along with it, our precious/ideal pump and dump trading opportunities (which is why it’s relevant to us…yup, wonder why the spam campaigns haven’t been goin’ crazy the past few weeks?)
“You Blew It Up! Damn You! Damn You All To Hell!” The Penny Stock Version
For all of you who haven’t read my book An American Hedge Fund or watched my PennyStocking instructional DVD Package, back in March, I wrote about CYGT being the stock, the sole reason, as to why my hedge fund lost 35ish% over 2 years in 2006 and 2007 (see blog post HERE).
Tough, tough, tough, tough, tough lesson, but it made me more cynical, conservative, an infinitely better teacher and even more determined to stick to my core trading strategy, a strategy that has yet to produce a huge loss, especially when I stay true to its quick loss cutting principles.
Anyway, that bankruptcy filing was pretty much the end of the story for me and the 1 million+ shares of CYGT I’ve still got–maybe I’ll frame the stock certificates as a reminder of how corrupt/bad/lying/failing (not personal just business) ALL these tiny companies are–but the other day came the nail in the coffin as the company
Attention Bank of America Corporation (BAC) & Wells Fargo & Company (WFC) Customers: Hopefully This Ain’t You!
Basically anyone with under $100,000 in cash in a bank is protected by the FDIC and considering the FDIC has never stiffed anyone–at least not yet, IndyMac alone took out 5-10% of its reserves–most people feel pretty safe. As you can see in the video below of IndyMac customers trying to get their $ out, there’s some definite anger just below the surface, but for now, this is what it’s like when a bank fails:
The SEC Mandated Debate + Prohibition On Short Selling=Government Sponsored Market Tyranny/Only Chance In Hell To Bottom
So now–after the public complains loud enough cuz they’re losing their asses in their “value investments” (learn to do some f%^&en due diligence you sh$%heads)–Osama bin SEC field agents have sent subpoenas, aka instruments of terror, to hedge fund managers and traders who are spreading bad rumors in order to profit from short selling these embarrassing financial companies.
Hell, right in the middle of me writing this post, Osama’s decided they’re even gonna clamp down on allowing people to short sell these turds! Just their latest terrorist act since they believe anyone who preaches and practices financial freedom to be infidels. (Emergency measures my Jew-ass, the problem lay with the companies and the leverage/power/manipulative-marketing-schemes themselves, not those who are smart enough to realize how fu$#ed these leverage/coke-loving bandits truly are, most assuredly business-wise and stock-wise too until the SEC just gave them a get out of jail free card for the latter)
This is big news–Osama bin SEC is mobilizing their terrorist committees so it’s gotta be covered by the financial media circus, giving us time-wasting debates like THIS one. I like that my man Lindzon defends short sellers, actually most of the people on there do, but WTF is the point of the whole debate in the first place?
Big bad SEC gonna investigate, rumors bad, punish bad opportunists, short selling so bad, or is it good, maybe it’s good, maybe companies are bad, why no SEC investigate them, oh wait, they hire lobbyists, they rich, they get government peeps in trouble, SEC no want lobbyist trouble, SEC weak, back to short sellers bad, commentators know it not fair, they smart, learn SEC, learn, watch Fox Biz, too bad nobody watches, lobbyists win, SEC stop short sellers…
If Citigroup Inc. (C) Has $1.1 Trillion In Off-Balance Sheet Assets, JPMorgan Chase & Co. (JPM) $400 Billion…
…and if these are the “most respectable” companies out there, I’m talking the most invested in/covered/analyzed by the SEC, ANALysts, the financial media circus, investors, fund managers–basically this entire joke of an industry, made infinitely truer considering it’s these meatheads jobs to do thorough due diligence (Fail!)–then can you imagine what all these other, lesser companies are hiding?
That’s right, I’m suggesting there’s a lot more bad stuff on the horizon (uh oh SEC, am I spreading false rumors? LOL…witch hunting pricks…yeah, what, come at me dawg)–not necessarily off-balance sheet crap, but who knows what evil lurks in the hearts of men? I don’t even wanna know what other sh%^ others are into…
Uh Oh, Guess Who’s Now Exhibiting The Perfect Technical Breakdown Pattern?
Memba 4 days ago when I featured Fannie Mae (NYSE: FNM) and Freddie Mac (NYSE: FRE) as perfect technical breakdowns/a short selling pattern I looooooove?
Well, since then those two turds have dropped 16% and 33%, respectively.
Forget all the BS media noise, rumors, tips, fundamentals, screwed employees, just all the shitty things/petty human waste products that are a part of every day Wall Street and focus on the charts. Can you guess which financial company is showing the EXACT same pattern?
American Beauty: Two Stocks Exemplifying Perfect Technical Breakdowns
You know me, I prefer trading frauds and pump and dumps to real companies, especially real financial companies, especially really f#!$ed financial companies, but I can’t help but appreciate the perfect charts on Fannie Mae (FNM) and Freddie Mac (FRE).
These companies are moving based off news, financing, possible collapse, blah blah, blah…go watch CNBC, it bores me…but notice how the panic really set in when they both took out their March lows.
This is what I’m talking about when I say I want to short into lower lows, whether that appears on an intraday, daily or monthly basis, preferably altogether as that’s when there are stop losses galore getting taken out simultaneously, or at least within a few minutes of each other, and if you’re a short seller, it’s like riding a giant wave, a big ass wave of computer generated sell orders!
Why I’ll Never Buy Stocks That Are Breaking Down, No Matter How Much Kool-Aid Is Involved
No matter that oil continues hitting its highs, nearly all of the recently hot energy stocks–from the strung-out junkie-like wannabe real alternative energy plays like Capstone Turbine Corporation (CPST), Quantum Fuel Systems Technologies (QTWW) and A-Power Energy Generation Systems, Ltd. (APWR) to piece of crap AMEX plays like Fieldpoint Petroleum Corporation (FPP) and Pyramid Oil Company (PDO)–have faded quite nicely over the past few days. People are scratching their heads and thinking, oil is high, these stocks should rebound, right?
Unfortunately, this gutter of a niche with the worst companies in the world, isn’t that simple. I’m not bashing–I have no positions in any of these stocks–it’s just the reality, these companies will fail and/or their stocks will return to pre-exponential rise prices over the next few months and years. Maybe one or two will stabilize, but that’s pushing it. All their little earnings reports that show such strong growth and profits, ALL of them can and have been manipulated to appear great. Creative accounting, works like a charm, stings investors like a bee.
Entertainment Today: No LiveStock, Just A Riveting Account Of Bear Stearns Collapse!
Due to the holiday, you might’ve guessed there’s no LiveStock today (although I was ready to do it!), but since you’ve become used to being entertained each and every Friday–Family Matters-style–I dug something up that you might just like…
See the whole article HERE and be prepared to spend some time reading it–it ain’t short, but it is worthwhile. Of course it had to come from a non-finance media outlet: Vanity Fair. Because as you know, just as corrupt as penny stocks are, the financial media is boring times infinity (besides even being a little corrupt themselves)
OK, no more ripping, this account of the Bear collapse really is educational and entertaining, good job Vanity Fair! And for those of you who need more convincing to read a long article, just check out the kind of cool pics they use:
Trust No One But Respect The Action: 3 Oil Breakouts & 4 Breakdowns
Ahh you gotta love it when new players enter and old ones retire—traders AND stocks. The key is being able to take what you can from each and then move onto the new hotness…
With that thinking, I loved CNEH—it was a weekend affair—but its proving itself to be too slow to continue to interest me (that’s right, I have commitment issues, I said it), CHQ and GST have been trying awfully hard, but their volume just plain sucks. Traders are fickle, we gotta have big moves and big volume…
So check out the 7 charts below, 3 of them are the new hot plays
Breaking News Rumor: Trader Monthly / Doubledown Media Flat Broke, Forced To Turn Off Air Conditioning
Wow, the immature prick that I am, I’ve dreamed of this day ever since their sick twisted son of a bitch editor-in-thief Randall “The ideal reader is 29 years old, making $400,000 a year, and spending all of it.” Lane’s smear campaign of me waaaay back in early 2007, but now it looks to finally be coming true. Rumors are flying that after losing an arbitration case with Private Air (who after “buying” their magazine, they allegedly stiffed), now they are flat broke and have turned off the air conditioning in their midtown Manhattan offices!
Karma’s a bitch, huh Randy?
Short Selling Games: How To & Not To Short A Morning Spike
Each of the past two mornings, I’ve shorted Uranium Resources, Inc. (URRE)—mainly cuz it’s up so much and its horrendous long-term chart and level 2 price action tells me there’s a ton of bitter shareholders looking to sell on these bounces. This 100% stock price spike naturally has brought in the short sellers, many of whom are complete morons, thinking it’s gonna collapse at any moment and I gotta thank God for their existence cuz their premature entry and inevitable squeezing is what causes these morning spikes.
Yesterday, I wisely waited for a nice wall of sellers to enter—meaning there was plenty of overhead resistance, even during the spike, shorting 1,500 at $4.05—even though it was off the day high by 20 cents…I wanted 30 cents of downside and got some of it, but when buyers seemed determined in the $3.85 range, I said to my self “can’t be greedy, this isn’t an I deal play” (it wasn’t negative on the day nor the afternoon). Covering at $3.90 it was a decent $200 gain.
3 Successful Safe Trades: A Breakout Buy, Ambitious Short & A Live Trade On Video!
My last 3 trades have been a testament to my philosophy that traders with small accounts should trade scared—traded as if you were a cracked out broker doing lines off your mistress in the downtown Goldman Sachs building when you hear a knock at the door accompanied by a voice that says “Police, open up!” Because that way you never overstay your welcome in a trade. Yes, you’re probly gonna exit early, but exiting early is safe aka infinitely better than risking exiting late.
First up, as I detailed in THIS post, there were several low priced oil stocks breaking out that I was thinking of buying, my top two choices being Tengasco, Inc. (TGC) and Samson Oil & Gas Limited (ADR) (SSN) as they were the lowest priced… SSN was just a spiker, not a true breakout (so even though it eventually fell the hardest, it was actually a great buy, think $4 to $6, or 50% overnight…ah hindsight), so I went with TGC, buying 3,000 shares at $1.69 (on an intraday dip around 2pm even as other oils were breaking out strongly) and when it broke the day high of $1.75 less than an hour later, I got pretty excited as to how high it could go since there was no resistance anywhere…
But taking trading scared to the next level, I sold out at $1.78 for a $250ish gain, not because the breakout was failing (on the contrary, ‘twas perfect) but cuz there were lots of big sellers orders all around just above…I am a wussie…as the stock was only up 20% on a perfect breakout…closing nicely higher at $1.85…opening strongly in the $1.90s on its way to $2.09, a nice 23% one day move for TIMalert subscribers and I rejoiced at several emails I got from those who also got in anywhere from $1.70 to $1.75 and exited better than me (as you should know by now is not hard to do) in the $2 range! (although PennyStocking student Tony Ellis discovered what it’s like to be last on the exit in THIS post…still profited aka why PennyStocking is gorgeous)
Navigate
Only $29.95/mo
Earn $$$
$
Participate & Earn
52 Links
136 Books
Buy TIM products!
Up 81%
Clips 24/7!
UPDATES
TIMtrades
Learn from my successes, learn from my failures, learn from TIM. Click here to learn more.
| Date | Stock | Buy | Sell | Net |
|---|---|---|---|---|
| July 23 | MKTY | $4.73 | $5.40 | $187 |
| July 22 | MKTY | $4.10 | $4.28 | $240 |
| July 21 | ZYXI | $3.03 | $3.18 | $130 |
| July 15 | MNLU | $6.37 | $6.73 | $340 |
| July 11 | IDAE | $2.27 | $2.49 | $630 |
| July 8 | ERII | $11.29 | $11.00 | $162 |
| July 3 | TGC | $2.14 | $2.39 | $471 |
| July 2 | HYGS | $2.15 | $2.29 | $260 |
| July 2 | TGC | $3.44 | $3.49 | $80 |
Total: $22,457 (
81%)
