And Tonight, I present the one and only Mr. Volatility and his first ever Top3 List made public. Here ya go. If we agree or we disagree then maybe we have some volatility.

1. I read a lot about economics. I have always been fascinated by Milton Friedman. uglychart.com has a great video of Milton.

2. My Visa (V) short.

3. PLD rhymes with AIG.

Peace

So there I was, walkin’ around my favorite little place by the sea.

What did I see? I saw the sound of the ocean. I heard the light of the night sky. I dreamed I was dreaming. I still might be. It was everything the fairy tale life should be. Replete with stories of what was and what will be. Laughter, lots of laughter. And of course, lots of volatility.

This upward move we have seen so far is so so. In español así así. I am unsure how long it will last. As I write ($SPX) Futures are +23 so we could be looking at another gap up opening tomorrow morning. We shall see. We shall see. I was out at sea, and out came volatility with me as the ($VIX) ended the day at 54.99. That was off 14.96 points or -21%. We are in new territory. New lands. The cocoon is not the cocoon anymore. The butterfly is free. The crazy movement will continue. Opportunity abounds. Opportunity always abounds in the land of volatility.

My book? Oh yes, my book. The one I am writing? No. My book. On to my book, my chips, my bets, my money management, my chances, my tickets, call them what you will. What do I own that I anticipate selling for more value than it is worth at this moment in time? Well my two favorites of course. Downside insurance in Visa (V) and Prologis (PLD).

In a conversation with a trader this weekend, he mentioned the IPO price for Visa (V) is $44. It isn’t surprising to see some hope in that name at this level. Unfortunately, the volume was pathetic. I am undeterred at all. Visa has a passport, or a visa, straight to $22. It is just a matter of time.

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Prologis (PLD). Nice volume today. Not.

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As far as my other book, it is a science fiction novel. I’ll let you know the title as soon as I figure it out. Let’s just say that the main character is a private Eye (A PI). P. I.
He’s quite entertaining really. At times he’s the life of the party. At times he’s a Fly on the Wall. Whatever form, he lurks. When he enters the room, things get real interesting real quick. His first name is Mestir and his second name has several syllables and rhymes with incredibility.

And that is it from me. Today 10.13. I’ll see you when we shall see. Good night.

Mr. Volatility

Chesapeake Energy (CHK) CEO Aubrey McClendon is forced to sell his holdings to meet margin calls.

Peace

Tonight, I have exercise on my mind. Exercise has been an important part of my life for many years. Today I was up in the sky with the rest of the stars. Amidst all the atmosphere, I was thumbing through Dreams of Reason. The following quote struck me.

Once I get into good physical condition my morning run through the redwoods becomes almost effortless. I turn my body over to one of my silent partners, and, liberated from the sense of major exertion (and I don’t push myself), I am left free to think.

-Heinz Pagels

Peace

Were you short this crash? Have you made huge returns?

If so, put yourself in the class with Jesse Livermore, Joe Kennedy, and WD GANN circa 1929.

For the record, I was short the crash of 2008.

Peace