Monday, September 27, 2010


IBM is hitting new all time highs.  As I wrote before, the fundamentals look very enticing for such a large cap.  Assuming the overall market holds up, I would not at all be surprised to see it at $200/sh within a year as everyone starts piling in.

Thursday, September 16, 2010

Sitting pretty

Re: the trade I posted previously (Uptrending Equity: TSLA option arb),  the interest rates on the borrowed shorts are falling off a cliff every day now, so the negative carry is dropping sharply while the implied volatility disparities between calls and puts is also dropping sharply.  Making me a bunch of money every day now.  

The VXX short/ BGU short pair has also been bringing in money for me nearly every day.  Still holding since Oct futures contango is also high.

Given Japan's decision to intervene in currency markets, other central banks with depressed economies may decide to compete to debase their own currencies, which will continue to be good for gold, which just hit new highs recently.  Gold to the moon!