The World is Coming to an End
I just blew out of my fledgling [[CMO]] position. I am shocked to see the GSE market getting raped. There is a strong possibility I am selling at the bottom. But, in the big scheme of things, it’s such a small position—it’s not worth the headache.
I covered my entire [[DECK]] position, in the low 103’s. The easy money has been made. Time to move on.
For the most part, I am making a “fantastical” amount of coin today, as the credit markets melt away, thereby enriching my [[SRS]] and [[SKF]] positions.
My top pick, by far, is SRS. I want to be long the fucker in the biggest way, in order to pleasantly and profusely sack the bulls who buy REITS.
So, just to recap: We are in meltdown phase, which means there is some quick money to be made on the downside.
The following stocks are all shorts:
[[FED]], [[WM]], [[SOV]], [[ASBC]], [[KRNY]], [[PFS]], [[DSL]], [[ORIT]], [[FED]], [[FBC]], [[CORS]], [[IMB]], [[FHN]], [[CLMS]], [[PHH]] and [[DRL]].
Another day, another bag of chocolate covered defaults.
March 6th, 2008 at 8:27 amFly-
did you close out CMO because you see more pain coming?? I know their exposure is better than most…
Thanks
March 6th, 2008 at 8:55 amIs the site moving terribly slow for anyone today?
Fly, i like how you made FED a double short. that must be the pick of the bunch.
March 6th, 2008 at 9:03 amI sold at $14, because I didn’t like the “vibe.”
March 6th, 2008 at 9:28 amYes, egregious bandwidth again today.
March 6th, 2008 at 9:40 amFED–the short so nice, he picked it twice
March 6th, 2008 at 11:17 amCNBC must be clogging the iBC pipe in retribution …. call one on Nixon’s Plumbers!
I just got in after trying for 1.5 hrs … is the spambotting still going on or has Jeremy fixed that pipe?
Fly, call in the heavy artillary!
March 6th, 2008 at 11:22 amNice move fly — good to see you came to your senses. (Just wanted to return the favour for your DECK play btw …) Having said that, these CMO could be a $10 stock come June when ARM resets really start to ramp up. A business model that uses 10x leverage will no longer work in this environment…. maybe lotto tickets on Jun Puts? Any thoughts?
March 6th, 2008 at 11:24 amSRS…a quadruple top breakout..supply at $124, but then going to $150.
Nice call. What’s your cost basis?
Any chance you’ll give us a position update in the near future?
March 6th, 2008 at 11:33 amDECK’s going to 80, at least. Pussy.
March 6th, 2008 at 11:37 amI’ve got DECK going to 66 but blew out of my puts because they reached an egregiously profitable number I’d set as a stop, where I thought they’d never hit whilst on vacay.
Ah well.
March 6th, 2008 at 11:49 amYes, I do think your opinion is righteous. (So do lots of people). Luckily majority of people are intelligent :).
April 6th, 2008 at 12:24 pm