Short term trades in the stock market •$$$$$•

[SpasticGramps]

(CNNMoney) -- U.S. stocks rallied Monday, logging their best gains in months, as investors started the holiday-shortened week optimistic that fiscal cliff negotiations in Washington are progressing.

The stock market is going to be bumpy ride until the end of the year. The "fiscal cliff" circus is about to ensue in full force and will rival the "debate ceiling debacle" clown show of last year. Markets will tear up and down on rumor, innuendo, and bullshit (similar to how they do when the European meltdown pops up on the front pages from time to time). Politicians will bloviate and point fingers at each other as they try to come to grasp with the USA's complete insolvency.

HFT algos responding to the headline rumor mill bullshit. As long as the newspapers print headlines that say everything is ok the market will pop.

Bonds didn't buy the BS and leaked lower.

Same thing that's been going on in Europe as they come to terms with their insolvency. We have just started to come to terms with ours.

 

[Tripsick]

Looks like i finally got a time frame of the world economy collapse

2030 or so says a 40 year old MIT study.

 

[Madrus Rose]

Daym, that options player Jimmie did it again calling NFLX $82C options in the am for 30c and the news with Disney came out ramping it 11pts up to $88, omg what a trade that was , those 30c calls wnet up almost to $6 in 3hrs <g
http://stocktwits.com/OMillionaires

He hit homerun with SODA too

OMillionaires
"@OMillionaires: "@OMillionaires: $NFLX 82.50 C @ .31/.32" / now asking .50 - Will be higher once over 200DMA" 11am alert hit 5.90 so far Bullish

 

[growbig789]

what about the gun trade... I'm looking at Cabelas CAB... no options for me just stock... but it sold off from 45/46 to 39 after the school shooting on talk of gun control..

I think its an over reaction and should be back to 44 quick and maybe even 46 once people realize gun sales are going to increase even more rapidly now... I'm in at 39.60 and added more at 41.80

 

[Stonefree69]

I think Apple could give us many more selling opportunities in the years to come. They can never sustain a high it seems.

 

[herbaholic]

Not every stock is optionable.

 

[herbaholic]

I meant to add that Ruger and Smith and Wesson are both optionable Firearm stocks

 

[growbig789]

I think the gun trade still has some legs... demand is unprecedented and most places are still out of stock alot... Cabelas says the 1st quarter is going well... I think at least a last run to new highs is justified. I'm long CAB and hope RGR makes a quick pullback after the 2/27 Q4 report... anybody else working with anything? overall market seems a little tired up at these levels? It does to me at least... my intent is to keep most things on a pretty short leash if it starts cracking at all...

 

[RetroGrow]

What happened to this thread? Market near all time highs, but regular posters gone?
Well, looks to me like market overbought, but that doesn't stop it from going higher.
I have to say solar stocks are way over bought and should be shorted, IMO. SPWR especially, after today.

 

[yesum]

I have long position on the s and p 500 for this week. I think there is room to the upside still.

Just my feeling.

 

[Stonefree69]

I have long position on the s and p 500 for this week. I think there is room to the upside still.

Just my feeling.

I like your insight and guts. I would've gone long on S&P futures late last year on the good housing market news and cleaned up. IF I was in the market. Need more than a few good sectors w/good news to get a strong bull market.

 

[growbig789]

A nice little crack in the bull tdy, enough for me to get out of my short term stuff. AAPL seems like a good short if the market looks like it is indeed going to correct. Around 442 and short more at 432?

 

[mogrow]

Amzn, PCLN, NFLX, GOOG, they all seem like short canidates.
have a feb 22 XOM put 87.5 strike price, wish me luck.

 

[Quiet_Riot]

Buy gold, as always I guess. it should rise to 3k.

 

[growbig789]

Amzn, PCLN, NFLX, GOOG, they all seem like short canidates.
have a feb 22 XOM put 87.5 strike price, wish me luck.

good luck! nflx does look like a good short.. strong reversal in it tdy, 52 wk hi at the open to close below yesterday's low... thats kinda what you look for eh?

 

[SpasticGramps]

DOW was 83pts off record highs yesterday before the rug was pulled out.

With the surge of retail investors (dumb money) piling in, stocks nearing all time highs, volatility expectations at all time lows (not so much anymore) I would think the correction is coming soon. Credit has been tightening for a while and macro data is really beginning to rollover (except for today's housing numbers which when graphed look statistically impossible ie. bogus).

The gridlock of the recent Italian elections has reminded everyone that the EUR is still collapsing. Italian indices crashed 5% today with no hope in sight. The Italian people basically voted for the banks to go fuck themselves.

This market has being going straight up no matter what for the past few months. It has ignored every piece of reality with a vengeance. The depth that the market has it's head buried in the sand is amazing, but it has been conditioned to believe that no matter what central banks can still push it higher.

Unfortunately now even mainstream media is stating that QE really isn't working anymore and with the FED's remittance to the Treasury about to go negative Bernanke has crossed another milestone towards his terminal end game. Just about everyone knows the FED is insolvent at this point and are not afraid to talk about it.

The biggest give away that we are headed for a massive correction is Bernanke now regularly states that the stock market "is not a bubble." Last time he had to lie so much on a regular basis was when he was defending the housing market and said "subprime was contained."

We all know how that turned out.

Stay Frosty.

 

[SpasticGramps]

My, my. What will be the next dominoe to fall. Italy? Spain? Japan? So many choices it's like going to Baskin Robins.

Investors now fear a default by Italy more than Spain MarketWatch

The cost of insuring Italian government debt against default spiked Tuesday as investors reacted to inconclusive election results that stirred fears of renewed political instability in the euro-zone’s third-largest economy.

The spread on instruments known as five-year Italian credit default swaps, or CDS, widened to 290 basis points on Tuesday from 245 a day earlier, according to data provider Markit. CDS can be used to effectively insure bond holdings against the threat of nonpayment.

Hopefully CDS is more effective at protecting bondholders during systemic sovereign defaults than they were at protecting investors during the housing crisis. AIG anyone?

Yes, yes. Very effective weapons of mass destruction indeed.

 

[RetroGrow]

My, my. What will be the next dominoe to fall. Italy? Spain? Japan? So many choices it's like going to Baskin Robins.

Investors now fear a default by Italy more than Spain MarketWatch Hopefully CDS is more effective at protecting bondholders during systemic sovereign defaults than they were at protecting investors during the housing crisis. AIG anyone?

Yes, yes. Very effective weapons of mass destruction indeed.

But you gotta love Italian politics! 30 parties, many of them zany. It's like a Fellini movie. You have a comedian, who killed 3 people by vehicular manslaughter, a child molester who was molesting a 15 year old while serving as Prime minister, and a host of other circus performers. If only we had that system here, I think it might be an improvement!
At least for entertainment's sake. All we can do is get short, sit back, and watch the carnage, while saying, "I told you so"......

 

[SpasticGramps]

and a host of other circus performers.

It's certainly a comedy of horrors. The Big Global Clown Show.

 

[Stonefree69]

But you gotta love Italian politics! 30 parties, many of them zany. It's like a Fellini movie. You have a comedian, who killed 3 people by vehicular manslaughter, a child molester who was molesting a 15 year old while serving as Prime minister, and a host of other circus performers. If only we had that system here, I think it might be an improvement!
At least for entertainment's sake. All we can do is get short, sit back, and watch the carnage, while saying, "I told you so"......

Italy changes governments about as often as someone here in the US orders pizza. This has been going on for decades or even longer.