The short interest is lower, yes, however that is not current data. I will say the squeezes on AMZN are getting smaller which indicates more shorts have bailed. This being said, I watch the tick by tick movement and watch these buy programs kick in on the same stocks often at the same time. Throughout the day, several attempts to squeeze out brand new shorts occur.
As for buying puts....I highly recommend buying them many months out to outlast the maching gaming and to give the fundamentals time to be "recognized" and the stock to break.
An issue that is not being discussed, and it should be is this:
AMZN, along with many other high fliers, has a low float and due to it's extraordinary valuation, attracts many short sellers. Because of the low number of outstanding shares, it is very easy to bring on buying pressure (enter high speed algorithm trading computers) to scare the short sellers into buying to cover their shorts, hence providing the fuel for extreme boosts in the stock price. AMZN is a continual short squeeze candidate because investors are lured into shorting the common because of the valuation, which I agree is the right mentality. This being said, until investors STOP SHORTING THE COMMON and enter short positions by buying put contracts well out into the future, giving this bloated pig time to correct, then these high speed algorithm trading monsters will continue to steal money right out of the accounts of the shorts. Watch other stocks such as PCLN, MA etc...the same situation exists. This is why new ipo companies are choosing to keep their floats low, so they computers will play the squeeze game and make the initial investors very wealthy very fast. The interesting time will be when people wise up, stop shorting the common and the buyers begin to dry up in AMZN and then we will see the computers begin to "screw" each other.
Priceline's (PCLN) Europe potential means it deserves a premium multiple vs. other internet companies, Barclays says as it raises its target price on the shares to $800 from $725. PCLN performs "extremely well in Europe" and has a "very robust growth runway ahead" there, the firm says, plus any European short-term stability would give shares "a strong chance to outperform." [View news story]
I own puts as well on PCLN. I went out to Oct 2012 to give this some time to come back to reality.
I believe this stock is being pushed up by the machines. The movement has nothing to do with fundamentals really imo. The only point that it will stop is when the common stock is not so heavily shorted, and the only buyers left will be the machines. It will be at that time, when the stock will fall and the machines will begin to screw each other.
The talking heads all say that their growth rate justifies the p/e. Trailing p/e is over 35. I, like you, have a hard time understanding whose willing to hold the shares at these levels. The CEO has sold 30% of his stock, the CFO has sold. The SEC is questioning the company about it's activites in Syria, Iran and Cuba. It is NEVER good when the SEC comes sniffing around a company. I hope they check the accounting department while they are at it.
I can't offer you any comments about why it's not expensive other than the talking heads seem to think it can continue growing at over 30% for over 5 years.
Thank you for the reply and greatly appreciate the lack of name calling. That is the stuff of children.
. As do you, I have the right to express my viiews and opinions. Before I go any further, I want to state the in the forum of the written word, much is left to the reader's individual interpretation as to the writer's emotions, attitude, etc. It is very easy to put your own spin on my words, even if it is not the spin I am attempting to share. This being said....My comments were and are never meant to be judgemental or condascending. If YOU knew ME, you would know this. I don't and will do not profess to know everyone on this board and/or their lives.
My comments about Apple Addicts and the Apple culture are not the first to be thought or written. I just happen to see the majority of Apple product consumers as fiercely loyal to Apple products and highly defensive of anyone offering up some negative views on anything Apple, whether that be the stock price or any of the products, or the management etc.
Now, I personally know ALOT of people that are addicted. It doesn't matter that they have 5 cell phones, and two ipad, and five ipods, or two macs. When Apple tweaks with a change or two and rereleases, these same people HAVE to have the newest and latest gadget, and spare no cost. Of course, not EVERYONE falls into this category, but many do.
Jobs and his team were/are master marketers. They have managed to give made in China products a magical luster. There are other high end retailers such as Ralph Lauren that are successful with that same strategy. RL products are mainly made in China, alongside the JC Penney's brand, but those Ralph Lauren products have that image that allows them to command a higher price.Apple has perfected this and thus have a very strong following.
So what relevance does this have to my not liking Apple? I believe that in time, the addiction and cultish fever will begin to fade when people start realizing that they are spending alot of money for repetitive products. At some point, I predict that more versus less people will decide that their current Iphone is just fine, and they don't need to spend another $400 for a slightly longer battery, etc. The market is so saturated with tablets and phones, etc..that each CEO including Cook are over courting China to get that "growth".
I think Apple products are great, but overpriced. I personally don't need to have a phone, ipad, ipod, laptop and a tv. I can do what I need to do on one or two of these devices. I can't possibly find enough time in a day to use all of them and make it worth the cost of owning all of these products let alone keep rebuying them every time Apple makes a change. I am thinking that many others will come to that same realization at some point in the future.
You are not alone in your dislike for Apple. Like you, I cannot believe the level of fanaticism, or as I refer to them as Apple Addicts. God forbid anyone speak against the Apple cult.
Steve Jobs did one good job and that was to recognize how to capture electronic addiction. He has succeeded in cultivating a mindset (played a perfect head game on so many addicts) that woos these addicts to buy the same products over and over again.
You see, Apple's way is to make a few changes and rerelease the same products over and over again. They change the battery life, or the number of pixels, etc (you get the picture) and rerelease. The Apple addicts race to the store to buy their third iphone, and second Ipad, and fifth Mac, and fifth Ipod. The Apple graveyard in some of these homes would qualify for hoarders! The Apple addicts just have to have the newest and latest Apple product, no matter if they already have a slew of products already.
Jobs captured human nature addictions(just like alcohol, tobacco and p**n industries). He played a mind game on these types of people that they will just throw their money at anything Apple no matter what. Soon these people won't have time to do anything else other than use their Apple products. I mean, you can access the internet on the Iphone, but also on the Ipad, and the Mac. You can watch movies on all of these, and soon the Apple tv will be here. Apple addicts will need Jobs to create some "time" from above so they can use all of their products in a day's time!
I am sorry...this is all reaching insanity.The fanaticism is running at epic levels, the addicts breate Apple, and the stock has gone beyond parabolic.
At some point, and I suspect sooner or later this addiction will move onto something different. Which is probably why Cook is over courting China, because to keep up the growth, they need to hook a large population of new addicts.
I don't like Apple, and won't buy their products. I have never cared for Apple long before the stock went parabolic.
I am short now, recently having bought puts out into future, and I will just sit and wait for this stock to fall.
At some point, even the Apple addicts will realize they are being taken and played to line the pockets of the Apple execs.
Priceline.com Should Be Avoided At Its Current Price [View article]
The SEC is questioning the company about it's activities in Iran, Syria, and Cuba. This is NEVER a good thing when the SEC comes sniffing around a company. This is one red flag.
There is also a HUGE amount of new competition for PCLN. Google's new travel site, Room Key site where the hotels are booking direct. There is a move to cut out these middle online travel services like PCLN.
I travel alot and I don't use PCLN. I don't find them to be the best price, and often times I get the very best price booking directly with an airline, hotel and/or car rental.
There is also the low float, high short interest due to the high p/e) issue. These high speed frequency trading computers seek out this exact situation, (everyone KNOWS amzn is bloated so they short), put a little buying pressure on the stock, and the shorts cover providing very large quick gains. The low float allows for large moves in the stock price with very low volume. This is also occuring in PCLN, NFLX, MA, to name a few.
I am not sure when or how the big money that is needed to bring on the buying pressure will get out of these high fliers. But it will be interesting once the Amazon Scam is up.
I am short the common as well as purchased some puts. I did sell some puts beneath my commons. I sold the Jan 2014 440's and collected 51 per contract. The put premium is not falling as fast as the stock is rising, so the hedge is not as strong as I wish considering AAPL keeps moving up 20 or so per day.
I am getting concerned they will run this up to Goldman's target of 700 prior to seeing any kind of correction.
I am interested on your thoughts on AAPL given the dividend and the announcement of 3 mil in Ipads sold as well as Ipad being offered in 26 other countries.
Thin-Air Thursday: A Weak Week Of Denial [View article]
Has anyone noticed the amount of insider selling in PCLN this year? CFO is one of the officers selling large amounts of stock. Most recent sell a day or so ago. I am not sure I have seen this kind of selling in a stock before.
TVIX: An Emerging Arbitrage Opportunity [View article]
Paulo,
How is TVIX affected by the cease in issuing new credits? What will the effect be on it's movement? Will this slow down the swings and/or increase them once volatility returns. Thank you for your time.
Why The Verizon Data Freaked Apple Shareholders [View article]
The Worrisome Amazon CEO Letter [View article]
The short interest is lower, yes, however that is not current data. I will say the squeezes on AMZN are getting smaller which indicates more shorts have bailed. This being said, I watch the tick by tick movement and watch these buy programs kick in on the same stocks often at the same time. Throughout the day, several attempts to squeeze out brand new shorts occur.
As for buying puts....I highly recommend buying them many months out to outlast the maching gaming and to give the fundamentals time to be "recognized" and the stock to break.
The Worrisome Amazon CEO Letter [View article]
AMZN, along with many other high fliers, has a low float and due to it's extraordinary valuation, attracts many short sellers. Because of the low number of outstanding shares, it is very easy to bring on buying pressure (enter high speed algorithm trading computers) to scare the short sellers into buying to cover their shorts, hence providing the fuel for extreme boosts in the stock price. AMZN is a continual short squeeze candidate because investors are lured into shorting the common because of the valuation, which I agree is the right mentality. This being said, until investors STOP SHORTING THE COMMON and enter short positions by buying put contracts well out into the future, giving this bloated pig time to correct, then these high speed algorithm trading monsters will continue to steal money right out of the accounts of the shorts. Watch other stocks such as PCLN, MA etc...the same situation exists. This is why new ipo companies are choosing to keep their floats low, so they computers will play the squeeze game and make the initial investors very wealthy very fast. The interesting time will be when people wise up, stop shorting the common and the buyers begin to dry up in AMZN and then we will see the computers begin to "screw" each other.
Apple's Big Mystery Buyer In Q1 2012 [View article]
Priceline's (PCLN) Europe potential means it deserves a premium multiple vs. other internet companies, Barclays says as it raises its target price on the shares to $800 from $725. PCLN performs "extremely well in Europe" and has a "very robust growth runway ahead" there, the firm says, plus any European short-term stability would give shares "a strong chance to outperform." [View news story]
I believe this stock is being pushed up by the machines. The movement has nothing to do with fundamentals really imo. The only point that it will stop is when the common stock is not so heavily shorted, and the only buyers left will be the machines. It will be at that time, when the stock will fall and the machines will begin to screw each other.
The talking heads all say that their growth rate justifies the p/e. Trailing p/e is over 35. I, like you, have a hard time understanding whose willing to hold the shares at these levels. The CEO has sold 30% of his stock, the CFO has sold. The SEC is questioning the company about it's activites in Syria, Iran and Cuba. It is NEVER good when the SEC comes sniffing around a company. I hope they check the accounting department while they are at it.
I can't offer you any comments about why it's not expensive other than the talking heads seem to think it can continue growing at over 30% for over 5 years.
Why I Now Dislike Apple [View article]
Thank you for the reply and greatly appreciate the lack of name calling. That is the stuff of children.
. As do you, I have the right to express my viiews and opinions. Before I go any further, I want to state the in the forum of the written word, much is left to the reader's individual interpretation as to the writer's emotions, attitude, etc. It is very easy to put your own spin on my words, even if it is not the spin I am attempting to share. This being said....My comments were and are never meant to be judgemental or condascending. If YOU knew ME, you would know this. I don't and will do not profess to know everyone on this board and/or their lives.
My comments about Apple Addicts and the Apple culture are not the first to be thought or written. I just happen to see the majority of Apple product consumers as fiercely loyal to Apple products and highly defensive of anyone offering up some negative views on anything Apple, whether that be the stock price or any of the products, or the management etc.
Now, I personally know ALOT of people that are addicted. It doesn't matter that they have 5 cell phones, and two ipad, and five ipods, or two macs. When Apple tweaks with a change or two and rereleases, these same people HAVE to have the newest and latest gadget, and spare no cost. Of course, not EVERYONE falls into this category, but many do.
Jobs and his team were/are master marketers. They have managed to give made in China products a magical luster. There are other high end retailers such as Ralph Lauren that are successful with that same strategy. RL products are mainly made in China, alongside the JC Penney's brand, but those Ralph Lauren products have that image that allows them to command a higher price.Apple has perfected this and thus have a very strong following.
So what relevance does this have to my not liking Apple? I believe that in time, the addiction and cultish fever will begin to fade when people start realizing that they are spending alot of money for repetitive products. At some point, I predict that more versus less people will decide that their current Iphone is just fine, and they don't need to spend another $400 for a slightly longer battery, etc. The market is so saturated with tablets and phones, etc..that each CEO including Cook are over courting China to get that "growth".
I think Apple products are great, but overpriced. I personally don't need to have a phone, ipad, ipod, laptop and a tv. I can do what I need to do on one or two of these devices. I can't possibly find enough time in a day to use all of them and make it worth the cost of owning all of these products let alone keep rebuying them every time Apple makes a change. I am thinking that many others will come to that same realization at some point in the future.
Good Luck to you in your investments.
Why I Now Dislike Apple [View article]
Get your wallet ready, the next Iphone is due out soon...oh...and the next ipad too...
I will give Apple this, at least they are changing the tape for awhile with the pending arrival of the I-tv.
As for the proof of "fanaticism", just look at the volume of replies and the intensity of them in "defense" of Apple.
Case closed.
Why I Now Dislike Apple [View article]
You are not alone in your dislike for Apple. Like you, I cannot believe the level of fanaticism, or as I refer to them as Apple Addicts. God forbid anyone speak against the Apple cult.
Steve Jobs did one good job and that was to recognize how to capture electronic addiction. He has succeeded in cultivating a mindset (played a perfect head game on so many addicts) that woos these addicts to buy the same products over and over again.
You see, Apple's way is to make a few changes and rerelease the same products over and over again. They change the battery life, or the number of pixels, etc (you get the picture) and rerelease. The Apple addicts race to the store to buy their third iphone, and second Ipad, and fifth Mac, and fifth Ipod. The Apple graveyard in some of these homes would qualify for hoarders! The Apple addicts just have to have the newest and latest Apple product, no matter if they already have a slew of products already.
Jobs captured human nature addictions(just like alcohol, tobacco and p**n industries). He played a mind game on these types of people that they will just throw their money at anything Apple no matter what. Soon these people won't have time to do anything else other than use their Apple products. I mean, you can access the internet on the Iphone, but also on the Ipad, and the Mac. You can watch movies on all of these, and soon the Apple tv will be here. Apple addicts will need Jobs to create some "time" from above so they can use all of their products in a day's time!
I am sorry...this is all reaching insanity.The fanaticism is running at epic levels, the addicts breate Apple, and the stock has gone beyond parabolic.
At some point, and I suspect sooner or later this addiction will move onto something different. Which is probably why Cook is over courting China, because to keep up the growth, they need to hook a large population of new addicts.
I don't like Apple, and won't buy their products. I have never cared for Apple long before the stock went parabolic.
I am short now, recently having bought puts out into future, and I will just sit and wait for this stock to fall.
At some point, even the Apple addicts will realize they are being taken and played to line the pockets of the Apple execs.
Priceline.com Should Be Avoided At Its Current Price [View article]
There is also a HUGE amount of new competition for PCLN. Google's new travel site, Room Key site where the hotels are booking direct. There is a move to cut out these middle online travel services like PCLN.
I travel alot and I don't use PCLN. I don't find them to be the best price, and often times I get the very best price booking directly with an airline, hotel and/or car rental.
Taking Issue With The Kiva Pump [View article]
I am not sure when or how the big money that is needed to bring on the buying pressure will get out of these high fliers. But it will be interesting once the Amazon Scam is up.
VIX - Options Volatility Sonar: Monday Recap [View article]
Are you still maintaining your short on AAPL?
I am short the common as well as purchased some puts. I did sell some puts beneath my commons. I sold the Jan 2014 440's and collected 51 per contract. The put premium is not falling as fast as the stock is rising, so the hedge is not as strong as I wish considering AAPL keeps moving up 20 or so per day.
I am getting concerned they will run this up to Goldman's target of 700 prior to seeing any kind of correction.
I am interested on your thoughts on AAPL given the dividend and the announcement of 3 mil in Ipads sold as well as Ipad being offered in 26 other countries.
Thanks in advance.
Thin-Air Thursday: A Weak Week Of Denial [View article]
TVIX: An Emerging Arbitrage Opportunity [View article]
TVIX: An Emerging Arbitrage Opportunity [View article]
How is TVIX affected by the cease in issuing new credits? What will the effect be on it's movement? Will this slow down the swings and/or increase them once volatility returns. Thank you for your time.
Is TVIX Now Just A More Docile UVXY? [View article]