Monday, November 22, 2010

11/23/10 Unbelievers

Re: Trading the Markets/ All Hail Pessimism, God Of Rallies newSubmitted by 2nd_ave (4988 comments) on Mon, 11/22/2010 - 19:48 #74744 (in reply to #74730)
tof- I still like the recent spike in negativity. The ranks of Unbelievers continue to mount with each succeeding sell-off, which is exactly what the indexes need to scale the wall of worry.

31 comments:

  1. Re: 'BAC's done like dinner'
    Submitted by 2nd_ave (4988 comments) on Mon, 11/22/2010 - 19:37 #74743 (in reply to #74739)
    loannetter- Before we get carried away, let's wait for clarification, which appears will be forthcoming shortly:

    http://tinyurl.com/29ke6fy

    'A Bank of America Corp. employee who said that Countrywide Financial Corp.’s policies were to retain mortgage notes later clarified her testimony in a New Jersey bankruptcy case, a lawyer for the company said.

    “Countrywide’s policy and practice has been and remains to fully comply with the pooling and servicing agreements, including forwarding any necessary documents to the trustee,” Larry Platt, a lawyer at Kirkpatrick & Lockhart, said in an e- mailed statement.

    Bank of America, based in Charlotte, North Carolina, acquired Countrywide in 2008.

    “The associate whose testimony was cited in the ruling was asked about a process outside her normal scope of responsibilities and in an entirely different department from where she worked,” Platt said.

    “A review of her testimony shows she later clarified that she was not comfortable testifying about the circumstances under which original loan documents would move, or whether and to what extent they ever are moved. This would include the initial delivery of original loan documents to the trustee,” he said.

    I realize everyone wants to pile on the BAC pile-up, but let's remember that it's never over until it's over.

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  2. Since I raised some cash by selling PNP.TO today, I decided to double my order to write WATG January $7.50 puts, so as to sell 20 puts at $1. As I said before, every time I wrote WATG $7.50 puts, they would expire, and I believe this time would be no different.

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  3. BAC - It's all about employment, looking at foreclosures I find plenty of properties nobody would want to live in, let alone own or even pay taxes on..

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  4. My previous comment about gold growing when the amount of money grows faster than economy might not really apply now, since the amount of money is actually decreasing now due to deleveraging.

    Hussman has a different explanation for the growth of gold. He says that careful statistical analysis shows that changes in the money supply have no correlation with inflation. On the other hand, history shows us that large government deficits had ALWAYS led to inflation. Given the currently projected government deficits for the next 10 years, Hussman says that gold will inevitably be much higher by the end of the decade.

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  5. david - what's up with ECU?

    its been so damn long since i was in commodities. i made a lot of money on northern dynasty way back in the day (2004 i think). i researched the hell out of that thing and it seemed like a no brainer at the time. that's when gold was at like 450.

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  6. TOF -- ECU under $1 was a no-brainer pick IMO, even if silver had simply stayed at $20. Right now ECU feels a little overbought in the intermediate term, and if silver corrects 20%, ECU can drop by 50% (which would make it a great buy). So basically you can start scaling into ECU, progressively faster, at $1 and below.

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  7. Basically, ECU "came to life" with its pop above $1 and became a very leveraged play on the price of silver (before that, ECU was not tracking silver well), with its daily moves (and even intraday ones!) being very correlated to the price of silver. So if silver rises another 20%, ECU can rise 50%.

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  8. TOF, if you want to know my reasons to believe why the first, soon-to-be-released, economic feasibility report will have a very positive impact on the market, send me an e-mail through CC and I'll reply with some info I got from the ECU investor representative.

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  9. Speaking of silver - Actually, I'm thinking again of picking up a little DZZ...

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  10. Huh, what's this?

    "South Korea's Yeongpyeong island is under artillery attack right now from North Korea. There military and civilian casualties"

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  11. North Korea fires rockets at South Korean island, south returns fire...

    http://online.wsj.com/article/SB10001424052748703904804575631763523837910.html

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  12. The spot copper price is way below its peak at $4 and at this time of the night it has actually dropped below the important support at $3.70. On the other hand, FCX is still above $100... So I have just placed a sell short stop limit order for 100 shares of FCX at $100/$99.

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  13. sold the DGP a bit too early again, but was a real good profit.

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  14. PMI - $2.9x seems to be major support, let's see if it holds again this time...

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  15. GMO - Me thinks this action is quite bullish.
    ATNI - How is it possible this one's not taking a hit?

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  16. Gold - If this selling is due to Korean conflict, I would expect gold to fare well the storm? Wouldn't that be ditto oil as well?

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  17. When does our geratric congress get on the stick and start making some decisions, does anybody know/track this/have a vague idea of the schedule?

    I'm anticipating early next year from what I glean.

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  18. Come to think of it, maybe the Irag and Pakistani wars have had a large hand in gold's meteoric rise over the last decade?

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  19. cheapy - I guess it's just you and me here anymore.

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  20. GM - I'm pretty certain this company is going to have to prove itself to the market, no free rides or assumptions going forward.

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  21. yeah, seems that way sometimes.

    still holding RBY. I have real high hopes for that if I can get myself to hang on long enough. buyout would be quicker returns, but if they build it, it should be very profitable. i think they are having the 43-101 done in hopes of scaring up a bidder, and if that fails, it would still allow them to easily get the money to build.

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  22. KRE - sitting on lower trend line, this will be interesting to observe...

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  23. RBY - I would've anticipated a buyout by now, what are the challenges for mine construction, environmental, religious, infrastructure?

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  24. GBCI - "multi-bank holding company, provides commercial banking products and services in Montana, Idaho, Wyoming, Colorado, Utah, and Washington."

    These regions (aside from Wa.?) have been the strongest through the recession, I believe, so does that offer some upside advantage?

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  25. GMO/ATNI - I retract my out of the gate bullish comment.

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  26. CADC on the 50SMA, let's see if it fails so I can add.

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  27. Will someone please go resuscitate Mark?

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  28. I don't think GG wants to risk it because it will be too big of dollars, unless they KNOW the oz's are they, at least, and especially if any other miner were to make a bid, then I think they would jump in to take it away, because the F2 zone is right next to their mine.

    I think RBY mgmt is hoping for a good offer, and in the meantime, just keep moving towards proving out things, and building the mine if no bids appear. The mine is already partially there, so its going to be cheap to build, like $150 mm or less, and should have cash cost sub $300. They have no debt and no big infrastructure or environmental type problems so far as I know. Canada's best mine is right next to it.

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