Siegfried and Ben pull it off

Today was interesting. I was expecting a crash today. At least 500 points. The futures last night actually 'locked' and were stopped because they fell too far....

Then....

Tah-Dah!!!

Ben Bernanke pulls off a great magic trick. 0.75% Rate CUT!!! and before the bell too. This never happens. The last time we got a rate cut that happened between Fed meetings was 2001 (and that took an act of Terrorism)--and to this magnitude, 1984. Easily a once in 25 years occurrence. Good, bad? Well, it prevented a crash in the market. We were down almost 500 points on the Dow in the first minute of trading. We were all over the place today. -465 to ~ -30. We ended at -128.11.

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Quite a ride.

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Saved by Bernanke. Although, I think Ben may have screwed himself. This is only going to delay the inevitable. The Market will inevitably turn on Ben 'a la Roy' style when he can no longer give the cuts the Market demands. Soon there will be nothing left Ben can do to save the Market and things will start to get back to normal around here again. And by normal I mean realistic stock valuations and transparency into businesses' books....but we still have a long, painful way to go.

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I bought a few BAC puts along the way while we were heading up, just in case we flipped. Going into the close I was thinking I may have made a mistake. I figured I might be waiting a month or so for my puts to come back to value after a huge run up. I do have one man to thank though--tomorrow we are going back down. I thank Mr. Jobs and his overpriced, underperforming, yet attractive laptops.

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Apple gave warning on future earnings. The Street did not like that at all. Over a 10% drop in after hours alone!!!! Why does this save my shorting butt? Easy. Apple is a huge tech bellwether, and the last bastion of hope for folks long in this Market.

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Also I would like to mention that the banks went up across the board today. Even after BAC's earnings shit the bed. Thanks Ben, I will be reloading my puts on banks across the sector. Looks like I'll get another paycheck soon.

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Now my trades:

I got into BAC puts for May 32.50 for $1.60, $1.95, $2.10, and $2.30.

I also bought SPY puts for Feb 116 at $0.75.

I'm hoping to flip these tomorrow.

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I'm also going to look at continuing to buy puts on BAC, MER, and C if we continue to go up. I'm also going to look at puts on CFC if it continues to rise. I also have my eye on the other 3 'Horsemen of Tech', GRMN, AMZN, and GOOG to see the AAPL effect on them.

I believe we will have a drop in the morning and then up until the earnings releases hit go sour for the companies reporting tomorrow.

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Futures already suck.

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Also, one last final thing....if you haven't rotated your 401(k), Roth, etc out of stocks into Bonds and other defensive plays, consider today a gift and an opportunity to get out. People are just catching on to the fact the Market is starting to suck. There are still many opportunities to make money on the upcoming crash realization' by the public.

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Have fun tomorrow.

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-Rocketshoe