Thursday, April 18, 2013

04/18/13 Carry a large stick

I was unable to post earlier today.  I'll let my trades do the talking.

(a) FCX opened @ 27.5x, closed @ 28.1x.
(b) GDX (opened at Wednesday's close @ 27.3x) closed @ 28.2x.
(c) Added to SLW (opened at Wednesday's close around 22) @ 22.0x and 21.8x this morning, closed the entire position way too early at 22.4x.
(d) Will exit RYPMX at the close (opening price last night was an unbelievable 38.13!). 

77 comments:

  1. Small, highly regarded gold stocks like Mcewen Mining (MUX) and Argonaut Gold (AR.TO) up 10% today.

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    Replies
    1. Beats the poop out of TVIX, MUX is the new VIX with a coefficient.

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  2. Good work 2nd, it's entirely possible for gold to bounce as high as ~$1525 according to PB's analysis.

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  3. NH3 - Anhydrous ammonia... Three molecules of hydrogen for every molecule of nitrogen, and the nitrogen bond is easily broken.

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    1. Yeah, depending on the concentration in air. The range is pretty narrow (15%-28% NH3 in air)
      However, once the reaction gets going, lots of Hydrogen is liberated from NH3.

      NH3 in stable form:
      LOWER FLAMMABLE LIMIT: 15%
      UPPER FLAMMABLE LIMIT: 28%

      http://www.mathesongas.com/pdfs/msds/MAT01050.pdf

      Hydrogen itself won't knock you on your butt, however it is an asphyxiant so will cause a lack of oxygen but doesn't cause immediate respiratory failure like NH3(you can't walk away from an NH3 release)

      H2 Flammable limit is wide, H2 is liberated from NH3 once decomposition reaction begins:

      Hydrogen H2 Flammable limit in air:
      Lower Flammable limit: 4%
      Upper Flammable Limit: 76%

      http://www.airgas.com/documents/pdf/001026.pdf

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    2. H2 and O2 are a really good fit for one another, which is why the flammability range is so wide. Hydrogen and stupidity are the two most abundant elements in the universe, thankfully H2 has a strong affinity for water and so isn't found by itself just floating around in clouds. The recombination of H2 with an oxidizer like O2 results in an exothermic reaction, every single time.

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    3. Stupidity is in first place, however, by a wide margin.

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    4. While there are some really slick ways to ignite a hydrogen/oxidizer mixture, and the Hindenburg incident still goes unexplained, I propose that stupidity is the mysterious proximity ignition mechanism here on Earth.

      "Over the last century, there have been reports of hydrogen leaks igniting for no apparent reason, and a number of potential ignition mechanisms have been proposed. While there have been many leaks that have ignited, there are also reported leaks where no ignition has occurred. Investigations of these ignitions have often been superficial, with a mechanism postulated which, whilst appearing to satisfy the conditions prevailing at the time of the release, in general does not stand up to rigorous scientific analysis. Some of these proposed mechanisms have been simulated in a laboratory under superficially identical conditions and appear to be rigorous and scientific, but the simulated conditions often do not have the same large release rates or quantities, mainly because of physical constraints of a laboratory."

      http://www.hse.gov.uk/research/rrpdf/rr615.pdf

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  4. BIDU - Once again, this one's a bonafide turd drenched in liquid azz.....

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  5. IBM - Isn't this one a big data cloud play? INTC has become a big data play as well, hasn't it?

    MSFT - People keep buying windows hoping the new version will work properly.

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  6. Replies
    1. Nice work 2nd, it pays to go 1st!

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    2. No, those who went 1st got crushed. 2nd_ave, on the other hand, entered when the "left side of the V" was completed...

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    3. True, you'll come in 1st and 3rd, though! 2nd place is taken.

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  7. PNPFF closed today within a walking distance of its 2008 low. If only I had a little money left, I would put them all into PNPFF and make out like a bandit, similarly to those who bought it at the 2008 low and then saw it go up 10X in 2 years...

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  8. My only hope of generating money in the near term lies with my SPY puts and VXX calls, which are approaching their sell limit orders for a 100% profit.

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  9. "Earnings season lackluster, at best"

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  10. Ahmen brother, it's been a living hell all except for SNE, eh?

    Has anyone noticed E&P insider selling, or is it just me being paranoid?

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  11. From the photos, it looked like they might be brothers.

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  12. Natty - Noticing commercials have been reducing their exposure, they were on the right side of the trade. Large and small traders have been increasing their exposure, chasing price higher?

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  13. UGA - Came near the lower BB at $53.11

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  14. Replies
    1. Yep, below the lower BB, too early for me to dip a toe in the H2O

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  15. Chase the opening spike in miners at your own risk.

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  16. GASL - This puppy's like riding a wild horse, LOL

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  17. SCCO - Will I catch this one at $25 this time around, or am I asking for too much?

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    Replies
    1. Does this chart look like a 2yr C&H, it looks well formed to me, and the handle is forming.

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  18. Hey David, you know those 2 dudes?

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  19. TA - Would you guys buy this one if the May 6 earnings disappoint and it gaps down?

    I would, a good island reversal play.

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  20. GASL - How is that trading, it's computers sweeping prices around.

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  21. OSTK - LOL, these guys are great at pointing out the obvious: "upgrading Overstock to Buy from Underperform and raising our PO to $20
    (from $12)."

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    Replies
    1. I should apply for a job as a stock analyst after I retire.

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    2. Qualifications include the propensity to make wild-ass guesses + the ability to talk your way out of it if you're wrong. I engage in both of the above multiple times a day as it is.

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    3. You always have the standard excuse..."The markets can do anything. No part of this report is intended as investing advice. Investment involves risk and investors may lose principal."

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  22. RES - This one could be a good addition for a portfolio based on sanity.

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  23. GPL - Trading like it's heading for BK.

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    Replies
    1. Four digit precision too, they must really have the value nailed down.

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  24. hey fellas - just checking in. i have family in town so been busy. "This year has been a living hell!" well, not really but good luck out there today krazy kats!

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    Replies
    1. Tough reversal day for the coal plays. AAPL reversal should take some pressure off the overall market.

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    2. They're gonna want to move in, watch and see if I'm right.

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  25. Bought some Carnival Cruises (CCL) this morning. I figure that the bad press from their boat problems will fade and people will still continue to cruise. I figure about 50% upside in this, 3% yield while I wait. As the economy improves, people will travel more, plus kind of a play on the aging population.

    From a broader perspective, I think maybe we've moved out the phase of the market cycle where I buy small stocks for big gains and are moving into more the meat of the bull where all stocks do well, but you don't get the big upside on small ones, so you may as well go upmarket and take less risk for similar rewards.

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  26. Damn, I just looked at CE yesterday and liked the area.

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  27. At the close...Unless David's crew get's me first.

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  28. UGA - Donning it's summer beach clothing.

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  29. XLF recovering, VIX falling, looks like we're going up, maybe.

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  30. GDX/ miners. How many times can you say 'Ouch.'

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    Replies
    1. Sister site says gold is giving a buy signal.... Must be another copy-paste.

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  31. I'm losing that loving feeling, it's gone.

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  32. Blackstone ditches DELL, this must place the spotlight on someone, I'm guessing Ichan?

    IEP gap up there, what are the chances if gets closed?

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  33. Per cashin UBS:

    When the week-long implosion in gold started, media types contended that the trigger may have been potential sales by the Cypriot Central Bank. One source calculates that the amount of gold sold in the six session hemorrhage exceeds the combined gold holdings of the central banks of Cyprus, Portugal and Greece. Something strange appears to be going on in the gold pits, something very strange.

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    Replies
    1. I'm not so sure what's so strange about a fierce correction following a hyperbolic rally?

      Just one idea of many, I guess.

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    2. Misery loves company though, did these guys miss out on the UA rally in favor of watching gold crater?

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  34. VMW - $70 low, wow, I missed that one, just noticed...

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  35. HXM - Have you guys been following this one at all? Just wondering...

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  36. BRKB, having sold this recently in the 104 ish area, TOF mentioned that this equity could be a proxy of the mkt. Now let's compare this to GLD which may say is/was a bubble. The little comparisons is off lows of the last 5 years.

    GLD High to low gain was 164%, now corrected/crashed to 85%.

    BRKB high to low is 130%.

    So, my question is why do people think gold is a bubble, but BRKB is just acting normal and is a reflection of the economy?

    Just asking, have no answers.

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    Replies
    1. Now let's compare this to GLD which many say is/was a bubble.

      "many say"

      Also notice that GLD is near the 50% retrace

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    2. I dunno, but BRKB has investment intelligence and wealth creation on it's side as opposed to just being a dumb 'ol currency.

      Can't argue about the chart pattern looking parabolic.

      Remember, I'm not the brightest bulb on the tree when it comes to this stuff, others see stuff in charts I cannot.

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    3. Why not look for charts that are parabolic to the downside, instead? Of course there should be concerns with those as well, like game changing technological breakthroughs, for instance.

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    4. LOL! BRKB is valued/denominated in a dumb ol' currency, it's hard to win in this currency game.

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    5. BTKB is an investment instrument, I don't think currencies are, or were intended for that.

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  37. Have they blown up the house yet? Hope they don't set the neighborhood on fire.

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  38. Are you guys still wondering who or if someone is insolvent and being forced to raise cash by selling assets?

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  39. I found one worse than GMO!!.....VELT!. Wow, hadn't looked at that one since 1.90ish.

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  40. Replies
    1. I think I saw a downgrade for that one either last night or this morning. Same situation as HXM, analysts arriving to shoot the dead and bury any survivors.

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  41. http://www.objectivetrader.com/2013/04/sp500-long-term-trend-watch-19-april-2013.html

    2nd your buddy Strangelove in comments section

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