Iconoclast421

The Next Shoe to Drop in Banking: An Options Strategy

Selling XLF calls for a nickel is quite insane. Why not just buy dec 14 calls and 16 puts. Then you make money as long as XLF rises OR falls roughly 75 cents from the recent highs. What are the odds of XLF staying within that range for the next 3 months? Ha!

All you need is one of these positions to double in order to lock in the profit. It is quite possible that they both would double at some point.

Worst Housing Number in Decades: What Is the Wall Street Media Smoking?

The whole thing is one big criminal racket. That's why we will end up with capital flight and broad asset deflation. Everyone, EVERYONE will come to hate the bankers and the stock market, and it will all get wiped out. DOW will test 1800.

SEC Bans Shorting Financials

Picture the US economy as a hot air balloon. Over the last 8 years it has been shot full of holes (accidentally, wink wink) by Dick Cheney. And now the propane tank is empty and the balloon is falling fast. The government solution? Hand all the passengers a can of beans and tell them to start eating.

This is a difficult concept to grasp... but short selling actually boosts equities. It allows you to have people both long and short (hedged). (Say 60 long / 40 short for example.) Without shorting, instead of being long and short, You'd have to be "long and cash", or just cash. Since being long and cash is too risky, investment is discouraged. How many times have we read in the history books how the government has discouraged investment? This one will make the history books. But anyway, the banks will get what they need - cash - but the market will tank. It has to, because shorting boosts equities. This will cause the bank losses to multiply. It is a guaranteed thing. The banks will lose more. By its actions, the government has just admitted that we're in a fullblown depression. Before we've had an accompanying market crash. They have just tore a hole in the side of the balloon. Only their hot air is holding it up.

This is how this criminal cabal will steal all your 401k, pension, everything. After they are done there will be a fire sale of public assets, and 299 million americans will be completely broke with no purchasing power of any kind. All engineered, all predicted, all warned about by "kooks" for years. Should have listened to Ron Paul!