Options Wonderland

[Empire State]

Jonathon Lebed (the pumpist) email:

Read the bottom:


Many people are asking for my updated opinions on Gold, Financials and Real Estate.

From July 16th to July 23rd we saw a short squeeze in financial stocks.

This short squeeze led to many people shorting Gold, assuming that the financial crisis is now over and interest rate hikes are ahead.

The financial crisis is NOT over. Real Estate prices are only down 15% from their highs nationwide. The decline in Real Estate we have seen so far is NOTHING compared to what's ahead.

When bubbles burst, they tend to over-correct. When the technology bubble burst... the NASDAQ fell from 5,132.52 to a low of 1,108.49 for a loss of 78%.

It is my belief that Real Estate prices will most likely fall to below year 2000 levels.

This is an excellent opportunity to buy Gold. We are poised for a huge short squeeze in Gold just like we saw in financial stocks.

I like the Goldcorp Inc. (GG) October 2008 $50 call options here at $1.53.