Life

Game Over

eric28333 — Mon, 30 Mar 2009 03:06:24 +0000

I finally blew out my account. I cashed it in a few days ago.

My life of trading stocks is over with for now. I may be using this blog to write about my life until I raise enough money to get back into it.

What I’m Doing

eric28333 — Fri, 13 Feb 2009 18:36:06 +0000

I havent really posted lately. I finally sold my position in FAS at $10.30. I barely made anything from it, and since I had such a large position from averaging down so much I decided to get rid of it.

I got into FAZ at around $40 and sold at around $47. I have been sitting in cash for a few days and just decided to get little position in ESLR at $1.64.

Hopefully these dumbasses in Congress can pass a bill once in their life.

Fight, Delay, Fight and Delay

eric28333 — Sun, 08 Feb 2009 19:24:49 +0000

I think I’m going to be a seller on Monday at the open. It should open up but with the delay of the Treasury bank rescue announcement pushed back to Tuesday I think the market will slowly selloff all day.

I also don’t have any faith in Congress other than them delaying the Obama stimulus plan and ruining it with special interest ideas. They are good at fighting, and ruining things, but that’s about it.

I thought we could retest 940 or so on the S&P but I don’t see it happening as I thought it would.

I may be wrong but speculating on TARP II or the stimulus plan is pure gambling and I’ve had enough of that. I need to start making more calculated trades and only trade when I am sure about where the market is headed. I want more than a 50/50 chance of being right.

Some people say the market will sell off after everything is announced, some people say it will go up. I will be waiting.

It’s Just National Security

eric28333 — Mon, 02 Feb 2009 15:41:24 +0000

I think the issue with the banks run alot deeper than anyone might think.

People have to realize that the banks are the foundation of the country. I said in other posts that if the banks fail, the country fails. Who makes sure the country doesnt fail? The government.

It doesnt matter if the banks need 1000 bailouts, it will continue until they are fixed, or at least stabilized, and anything less would be a question of national security. It doesnt matter what ‘taxpayers’ want, because there will be no taxpayers if the banks fail.

I feel as though massive bank failures are as important, or more important than terrorism at this point. I’m sure some government officials feel the same way.

Holding

eric28333 — Wed, 28 Jan 2009 19:01:26 +0000

“We have a system of private and institutional investors, and we would like to keep it that way” – Timothy Geithner

This 10 second clip on CNBC today was the most important thing I heard all day. He is basically saying they don’t want to scare off individual or institutional investors from investing, that means they must feel as though they need to raise the market to give investors some hope, or at least keep them in th game.

I think we are going to get big news over the next few weeks. I think the S&P can run back up to 943 or so. When I look at the chart it looks almost impossible, but why was there a selloff to begin with? Because people thought the banks were going to be diluted right? But the banks are not going to be diluted, therefore the underlying index should return to its previous value.

Big Country – In A Big Country

eric28333 — Wed, 28 Jan 2009 05:24:09 +0000

FAS and FAZ

eric28333 — Wed, 28 Jan 2009 03:40:44 +0000

I can never make up my mind to how to trade but I have been thinking about sticking to only two ETFs. FAS and FAZ. The financials have too much volitility to ignore. Alot of people on CNBC say “stay away from financials” but I think thats crazy.

I could use FAS to go long and FAZ to go short. I used to do this with QLD and QID to trade the Nasdaq and it worked for a long time. I think I drifted away from that trade because I became more affraid of tech stocks than financials. If we ever go into a depression, not alot of people will need a bunch of technology sitting around.

Same thing with oil, if we find ourselves in a depression we wont need much energy, we wont need airlines either, or retailers, or steel, or basically anything.

I don’t think we are headed for a depression, but if we do, the financials (or some form of them) will be the only thing left standing. They can’t let all the banks fail, if they do, the country fails. Banks will be around forever, or at least until the end.

Peter Shiff

eric28333 — Mon, 26 Jan 2009 05:16:46 +0000

I just watched this and looked at the charts while I watched. I thought it was amazing. Brilliant. Ben Stein was completely off base, “Subprime is a tiny, tiny, blip”.

What we are living through is something that will be told and taught about for centuries. I am proud to be a part of it.

Mini Double Bottoms

eric28333 — Fri, 23 Jan 2009 18:59:34 +0000

I like to look for trends in the chart and it looks like we might be finally moving up here.

Congress is Dumb

eric28333 — Wed, 21 Jan 2009 16:52:03 +0000

I personally think Congress is unqualified to handle, or to even discuss the matters of the economy.

They are good at shaking hands, smiling, looking pretty and kissing babies, but that’s about it. The more I watch them talk about economic matters, the more dumb they seem.

Instead of them interviewing Tim, I think we should start interviewing them to see what they know about things like LIBOR, or CDO’s or bank balance sheets. But that won’t happen, because they don’t know shit about those things. Therefore, they don’t know shit about the economy. They are unable to make reasonable descisions on how it is to be fixed.

What happens when they don’t understand what they are making a descision on?

Go back to shaking hands please, because youre getting in the way.