lunes, 14 de julio de 2008

Fannie and Freddie - Mamma Fed is Here, don´t worry!


Capter I. Fannie and Freddie, let´s talk no more about them
Right now, as mixed as we can see market going, dilemma will be what stocks to pick considering leverage and time frame. If you can stand still right there and take the heat from house slump, the sell off will bring some clarity to those with some cash at hand. So, no mater how good the 3G I phone is, no company should feel save from a cascade of stops triggering event, as the market sentiment goes from good to bad in just few seconds. Taking this "nobody is safe anymore" slogan our point of view is to search out of the money options on tech, cover you ass selling cash position and buying bargain level stocks. Summer season already bringing pressure on oil prices higher, dollar down, interest rates with no power to control inflation, the only choice will be to hold downgraded under priced stocks, sell oil and steal related companies and buy some leverage and opportunity with tech assets, After all what else can we do, but wait and trade ground safely? no one know what´s gonna happen next - and we are stating to feel like this city surrounded by water.

Chapter II. Sell Flowserve (FLS) retesting highs, buy Google option (down today good timing), buy Alon cash.

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