Comments on: RANDOM THOUGHTS ON MR. BIPOLAR http://pragcap.com/random-thoughts-on-mr-bipolar Sun, 12 Feb 2012 06:49:06 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Brian http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5111 Brian Fri, 21 Aug 2009 22:32:10 +0000 http://pragcap.com/?p=7779#comment-5111 I think it's clear, the banks are using the markets to recapitalize -- as much as possible. I think it’s clear, the banks are using the markets to recapitalize — as much as possible.

]]> By: TPC http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5099 TPC Fri, 21 Aug 2009 18:00:48 +0000 http://pragcap.com/?p=7779#comment-5099 Who benefits from increasing their already established low cost basis? Who has transferred their entire revenue stream from securitization to trading? Who has oodles of cash on their balance sheets just sitting their waiting to be loaned out, but isn't being loaned out? I'll let you guess who is driving this market. The banks will report spectacular trading profits again next quarter. The hedge funds are all piling into the bank stocks for this reason alone....The game can continue until someone pulls the rug. Who benefits from increasing their already established low cost basis? Who has transferred their entire revenue stream from securitization to trading? Who has oodles of cash on their balance sheets just sitting their waiting to be loaned out, but isn’t being loaned out? I’ll let you guess who is driving this market.

The banks will report spectacular trading profits again next quarter. The hedge funds are all piling into the bank stocks for this reason alone….The game can continue until someone pulls the rug.

]]> By: Divided States of America http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5098 Divided States of America Fri, 21 Aug 2009 17:53:44 +0000 http://pragcap.com/?p=7779#comment-5098 THis market has to be overbought but who is still buying? People with cash on the sidelines will not be jumping in after a 50% move unless they are speculators or just plain foolish. With those liquidity provides (and raking rebates at no risk to them), you only need small volume to bid up a stock 2%-3% then the liquidity provides jump in and support the stock at that price for hours looking as if there is ample volume going through until the next fool gets suckered in thinking everyone is in. Obviously this can go on forever but the end result will be catastrophic if things dont improve or when ppl finally dont feel compelled to buy companies at astronomical valuations. You can see this a lot during the rally where the markets plateau for a few hours, like today with the Dow stuck between up 120 to 140. THis market has to be overbought but who is still buying? People with cash on the sidelines will not be jumping in after a 50% move unless they are speculators or just plain foolish. With those liquidity provides (and raking rebates at no risk to them), you only need small volume to bid up a stock 2%-3% then the liquidity provides jump in and support the stock at that price for hours looking as if there is ample volume going through until the next fool gets suckered in thinking everyone is in. Obviously this can go on forever but the end result will be catastrophic if things dont improve or when ppl finally dont feel compelled to buy companies at astronomical valuations.

You can see this a lot during the rally where the markets plateau for a few hours, like today with the Dow stuck between up 120 to 140.

]]> By: TPC http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5095 TPC Fri, 21 Aug 2009 17:31:46 +0000 http://pragcap.com/?p=7779#comment-5095 Van, Thanks for the link. I mentioned this last week. I have no idea, but people love listening to this bozo speak even though he was wrong for the first 3 years he was fed Chief: Friday: Housing data and a Bernanke speech – every bulls dream come true. The market is infatuated with Bernanke these days. After years of failure he is seen as having the golden touch. Give him 10 years. I’d be willing to bet anyone that he goes down in flames due to the same destructive monetary policies that destroyed Greenspan’s reputation… Van,

Thanks for the link. I mentioned this last week. I have no idea, but people love listening to this bozo speak even though he was wrong for the first 3 years he was fed Chief:

Friday: Housing data and a Bernanke speech – every bulls dream come true. The market is infatuated with Bernanke these days. After years of failure he is seen as having the golden touch. Give him 10 years. I’d be willing to bet anyone that he goes down in flames due to the same destructive monetary policies that destroyed Greenspan’s reputation…

]]> By: Van http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5094 Van Fri, 21 Aug 2009 17:30:53 +0000 http://pragcap.com/?p=7779#comment-5094 TPC, I wonder what data ECRI is seeing, compared to BDI and rail traffic, I know that many companies are in much better finacial condition than the consumer: http://www.businesscycle.com/news/press/1538/ TPC,

I wonder what data ECRI is seeing, compared to BDI and rail traffic, I know that many companies are in much better finacial condition than the consumer:

http://www.businesscycle.com/news/press/1538/

]]> By: Van http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5093 Van Fri, 21 Aug 2009 17:25:08 +0000 http://pragcap.com/?p=7779#comment-5093 TPC, Don't know if you saw this from Jason Goepfert: http://sentimentrader.blogspot.com/ Interesting take on this week's semiannual Fed brief to congress... TPC,

Don’t know if you saw this from Jason Goepfert:

http://sentimentrader.blogspot.com/

Interesting take on this week’s semiannual Fed brief to congress…

]]> By: prescient11 http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5090 prescient11 Fri, 21 Aug 2009 17:12:50 +0000 http://pragcap.com/?p=7779#comment-5090 Nice TPC, I like that a lot. Considering how much debt they are trying to sell, and that they can only buy so much indirectly POMO, I think that is a terrific play. Jap. govt. will be more aggressive in fighting deflation and making sure their auto companies can be profitable. I think that will push the USD/Yen back to near 97. Nice TPC, I like that a lot. Considering how much debt they are trying to sell, and that they can only buy so much indirectly POMO, I think that is a terrific play.

Jap. govt. will be more aggressive in fighting deflation and making sure their auto companies can be profitable. I think that will push the USD/Yen back to near 97.

]]> By: TPC http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5089 TPC Fri, 21 Aug 2009 16:43:20 +0000 http://pragcap.com/?p=7779#comment-5089 As you likely know, I too am long the dollar down here. I am down marginally on it, but expect a 5% pop here in the coming months....Paired her with a Canadian $ short which has not been friendly too me in the last three days. If oil blasts higher here in the coming weeks (on idiotic hurricane chasers) I'll likely double down heading into the fall. As you likely know, I too am long the dollar down here. I am down marginally on it, but expect a 5% pop here in the coming months….Paired her with a Canadian $ short which has not been friendly too me in the last three days. If oil blasts higher here in the coming weeks (on idiotic hurricane chasers) I’ll likely double down heading into the fall.

]]> By: prescient11 http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5086 prescient11 Fri, 21 Aug 2009 16:29:10 +0000 http://pragcap.com/?p=7779#comment-5086 Yes it does sir. I am actually long the USD against the Yen right here. And will average down when I think it is appropriate. I think USD is due for a rally. If not, I'm closing out of a lot of my positions... I consider this to likely be a blow off top. New home sales up and we get this?? This is pure mania. Yes it does sir. I am actually long the USD against the Yen right here. And will average down when I think it is appropriate.

I think USD is due for a rally. If not, I’m closing out of a lot of my positions…

I consider this to likely be a blow off top. New home sales up and we get this??

This is pure mania.

]]> By: TPC http://pragcap.com/random-thoughts-on-mr-bipolar/comment-page-1#comment-5084 TPC Fri, 21 Aug 2009 16:21:46 +0000 http://pragcap.com/?p=7779#comment-5084 Today has that feel huh prescient? Did you go long Yen? I can't believe I missed this upside. I hadn't missed a short-term move in the Yen all year.... Today has that feel huh prescient? Did you go long Yen? I can’t believe I missed this upside. I hadn’t missed a short-term move in the Yen all year….

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