I always get amazed at the herd mentality of the street. Last week was great, this week sucks balls. gotta luv it.
Wasn't oil suppose to go to 85 by year end? Aren't the banks suppose to triple in a year? I mean you had Denise Gartman on CNBC saying Alcoa (when around 12) it is going to be a $40-50 stock in three years, yet selling it out right today.
The more and more I trade, the more I see how predictive the herd becomes. Just tells me most of the players on the street are morons, and nothing more than lemmings to a few powerful news letter type folks.
Anyway... everyone now thinks its hammer time. The markets will keep going lower, until the market stops and then it will be the opposite. They are all momentum whores. (Yeah, I whore out too, but I say when i'm gonna whore out.)
Whatever. People forgot about the stimulus, people simply do not care... But I do. I will use these smucks, and be one step ahead.
I have not flinched. I have built a position. Will add to it if the market continues to collapse. (That is what happens when you sell into the whores' hype, you have the cash to calmly buy into their stupidity.)
Will indicate purchases when I do. But I am really interested to add to PBR (low 30s), FCX (high 30s), SQM (low 30s) among others. Mind you these will be double up positions for me, so those price tragets are conservative... tomorrow morning we should see a market decline facilitating lower prices, and that would be a great time for an initial entry on these names, assuming anyone is interested.