I am back and ready to rumble. It is so great to get away some times and just enjoy nature. The carolina mountain are beauty and I hope to have many more visits.
Anyways, I think we will get one more push down and have a bounce, maybe a holiday rally. I think today they had a chance to break them and they didn't so I am shifting my stance here from bearish to neutral just to see what shakes out.
I will update tomorrow but if we gap up watch for 873 resistance and 854 as some support. If we do sell off I will be looking at 813 area to BUY
Tuesday, November 18, 2008
Monday, November 17, 2008
Weak bulls
Still on a mini vacation but just thought I would write a few lines. They tried to rally us today and no dice, the sold us hard again in the last hour and we more and more looking like we will crack those lows everyone talks about being a bottom.
GS puts are printing money here. All the financials are DEAD. Citibank is about $1.40 away from my ultimate target of $7.50. YES I had citibank on my death list before anyone else :) and yes it is dead bank sorry but same as I said about Fannie Mae just DEAD. Now lets see if we can get a turn around tuesday or wedneday although I dont think it will be anything to talk about.
MARKETJEDI
GS puts are printing money here. All the financials are DEAD. Citibank is about $1.40 away from my ultimate target of $7.50. YES I had citibank on my death list before anyone else :) and yes it is dead bank sorry but same as I said about Fannie Mae just DEAD. Now lets see if we can get a turn around tuesday or wedneday although I dont think it will be anything to talk about.
MARKETJEDI
Saturday, November 15, 2008
$700 Billion = 2 Trillion
The bailout will cost tax payers about $2 Trillion when it is all over. I believe people are not analyzing the real problem at hand and most importantly we have two morons over Treasury who flat out are saying they have no idea what to do. I have a great idea and I have been saying it for the longest while, you have to force the banks to lend money period.
You can't give them access to the funds and EXPECT them to do what you want! you have to make them. Now how can they do that? I think we should just really NATIONALIZE the whole financial system, YES I said it, and those who dont believe that's what is happening, what the heck do you believe is the need for our tax money to help the private sector. THAT NATIONALIZATION!!!. People are just afraid to use the word because they have been so programmed to think it mean socialism which is crap. IF they dont want to hear that give us back our $700 Billion BACK NOW!, At least in socialism we would all supposedly benefit than just the rich executives who are taking our money and giving us the bill for their mismanagement. I mean we are seeing CAPITALISM die here in front of our eyes and it is a disgrace TOTAL disgrace. President Bush, Thursday in front of the G20 leaders practically said sorry to the rest of the World for the short fall of Capitalism. That's just crazy, Capitalism is not about everyone being prosperous, it is about the strongest surviving, so if your firm is a dud (GM, Ford, Banks), then you SHOULD go belly up. THAT'S CAPITALISM!, fair rules and competition with NO GOVERNMENT intervention BUT oversight. What went wrong is that there was no oversight and we often confuse the two. Oversight is NOT intervention, having rules doesn't mean socialism, what the heck is really going on here?? People are so frigging stupid it is unbelievable!!!
So now we the tax payers are owners of banks and automakers and we can't get a loan from the banks we own to buy the cars from the companies we own, does anyone see the real picture or are they looking at a polaroid which has faded.
DO you know the FED funds rate is now 1% and mortgage rates are still in the 6-8% range. So for those who don't know, the banks are getting the money for 1% and lending it to you to buy a house for 8%, that's unreal. So they are making 7% from you the tax payer and they can't run a business model to be profitable but we should pay for their losses. Hmmm drop my mortgage to 2.5% and maybe I will consider it but no way when you are raping me 7% on my mortgage spread and 20% on my credit cards and then you want to take home millions in bonus for ZERO profits. These guys should be LOCKED UP end of story but i digress again.
I got two emails from readers thanking me for the blog readings: one I know personally and the other is just a reader in this wonderful cyberspace. They both surprisingly said the same thing, their portfolios were up huge on my trade calls while the market was in the worst bear market for this generation. THAT'S what I am trying to do , help people see the LIGHT. Now if I am lighting the way and you want to go into the darkness that's OK, everyone has a choice, but I would surely like to walk in light than a dark road any given day.
I think we get a next new level low sometime after the new year, I strongly believe this and it will be a painful one. Citibank announced another 10000 job lost this week, QVC, Kraft foods and other also added to the layoff list this week. Very good chance when these job woes get worst and we dont have a great holiday retail season the DOW will start trading in that 6500-7200 range. My ultimate target for the DOW is 4800 and I stick by it. I hope we get a santa claus rally to short the heck out of it again but we will see.
I will be out till wednesday but will try to still update.
MARKETJEDI
You can't give them access to the funds and EXPECT them to do what you want! you have to make them. Now how can they do that? I think we should just really NATIONALIZE the whole financial system, YES I said it, and those who dont believe that's what is happening, what the heck do you believe is the need for our tax money to help the private sector. THAT NATIONALIZATION!!!. People are just afraid to use the word because they have been so programmed to think it mean socialism which is crap. IF they dont want to hear that give us back our $700 Billion BACK NOW!, At least in socialism we would all supposedly benefit than just the rich executives who are taking our money and giving us the bill for their mismanagement. I mean we are seeing CAPITALISM die here in front of our eyes and it is a disgrace TOTAL disgrace. President Bush, Thursday in front of the G20 leaders practically said sorry to the rest of the World for the short fall of Capitalism. That's just crazy, Capitalism is not about everyone being prosperous, it is about the strongest surviving, so if your firm is a dud (GM, Ford, Banks), then you SHOULD go belly up. THAT'S CAPITALISM!, fair rules and competition with NO GOVERNMENT intervention BUT oversight. What went wrong is that there was no oversight and we often confuse the two. Oversight is NOT intervention, having rules doesn't mean socialism, what the heck is really going on here?? People are so frigging stupid it is unbelievable!!!
So now we the tax payers are owners of banks and automakers and we can't get a loan from the banks we own to buy the cars from the companies we own, does anyone see the real picture or are they looking at a polaroid which has faded.
DO you know the FED funds rate is now 1% and mortgage rates are still in the 6-8% range. So for those who don't know, the banks are getting the money for 1% and lending it to you to buy a house for 8%, that's unreal. So they are making 7% from you the tax payer and they can't run a business model to be profitable but we should pay for their losses. Hmmm drop my mortgage to 2.5% and maybe I will consider it but no way when you are raping me 7% on my mortgage spread and 20% on my credit cards and then you want to take home millions in bonus for ZERO profits. These guys should be LOCKED UP end of story but i digress again.
I got two emails from readers thanking me for the blog readings: one I know personally and the other is just a reader in this wonderful cyberspace. They both surprisingly said the same thing, their portfolios were up huge on my trade calls while the market was in the worst bear market for this generation. THAT'S what I am trying to do , help people see the LIGHT. Now if I am lighting the way and you want to go into the darkness that's OK, everyone has a choice, but I would surely like to walk in light than a dark road any given day.
I think we get a next new level low sometime after the new year, I strongly believe this and it will be a painful one. Citibank announced another 10000 job lost this week, QVC, Kraft foods and other also added to the layoff list this week. Very good chance when these job woes get worst and we dont have a great holiday retail season the DOW will start trading in that 6500-7200 range. My ultimate target for the DOW is 4800 and I stick by it. I hope we get a santa claus rally to short the heck out of it again but we will see.
I will be out till wednesday but will try to still update.
MARKETJEDI
Friday, November 14, 2008
Friday pre market
We are gapping down right before the open BUT I do expect at least a test of yesterday highs @913.
Thursday, November 13, 2008
Monster RALLY
Monster rally off the retest of the lows. Program trading kicked in after lunch and BOOM.
Technically this is a reversal and we could see this reversal hold up a few days and possibly week. Nice taking profit on GOOG we will hold the DEC $70 puts on GS.
Tomorrow I dont expect much after an 800+ point swing
Technically this is a reversal and we could see this reversal hold up a few days and possibly week. Nice taking profit on GOOG we will hold the DEC $70 puts on GS.
Tomorrow I dont expect much after an 800+ point swing
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