Smoking Securities

Half Baked High Finance

Posts Tagged ‘AIG

Twitter Ticker ($AIG)

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AIG090805American International Group was hot on StockTwits as the insurer opened below $14 and closed at $22, a remarkable daytrade indeed. Whatever voodoo catalyzed the squeeze remains to be seen, though my sources tell me it involved monkey flatulence and Franz Geithner.

Though AIG is in a primary downtrend, the secondary trend is above the 20sma, suggesting a target of $30.8. A move below $18.20 would neutralize  the secondary downtrend, but $11.70 is the last visible support on this timeframe.

Regardless, the financial sector continues to skin every last bear, even the blokes at Fannie Mae and Freddie Mac are catching a bid. Shorts are fighting the Fed, and judging by the higher lows and higher highs, the printing press is working.

FNM090805FNM had a major breakout today, and it’s in a much better technical position relative to AIG. Trading in an uptrend above a rising upper Bollinger is quite bullish in this market, and it has a price target of 1.09. A trade below .68 would endanger the uptrend, but .49 is the last known support.

These government shell companies are casino stocks for savvy traders with a keen sense of position size and time horizon. There is plenty of money to be made, but bear in mind these stocks can move up 300% and crash 75% a few weeks later.

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Written by chucklesamadeus

August 5, 2009 at 7:32 pm

Twitter Ticker ($AIG)

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AIG090701

American International Group was a screaming short according to StockTwits traders like @smbcapital. Shares of AIG fell 22% after a 1-20 reverse stock split, and the chart has formed a double bottom breakdown, a distinctly bearish signal.

Things look grim for the beleaguered insurer, despite the claims of CEO Ed Liddy who said AIG has significantly reduced risk and has an “excellent chance” of repaying the government.

Unless AIG can get above the 20sma around 35, there is no reason to invest here. This market needs time to heal, and though a short target of 7.4 may seem crazy now, who knows what September will bring.

Written by chucklesamadeus

July 1, 2009 at 1:59 pm

Twitter Ticker ($GS)

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Goldman Sachs (GS) is in the spotlight in lieu of American International Group’s (AIG) counter party revelations.

gs090316

GS is mired in resistance, and though it has enjoyed an uptrend since November, its days are numbered.

The Bloomberg take on the AIG story can be found here.

This is what I took from the article:

AIG spent billions of dollars since its bailout to pay collateral to GS, Deutsche Bank and others that traded securities with AIG.

Henry Paulson, former CEO of GS, saved AIG as Treasury Secretary. He also appointed AIG CEO Edward Liddy, whom he knew from the board of GS.

Now that is how you hedge! Who needs to trade electronic promises when you have the Treasury Secretary and CEO?

Afraid your counter party is retarded? Don’t worry! For a limited time, you can insure your trade by leveraging taxpayer money!

I remain impressed by the cojones of our robber barons.

Written by chucklesamadeus

March 16, 2009 at 3:14 pm

Posted in AIG, GS, Twitter Ticker

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AIG FAIL

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A look at American International Group’s fall from grace.

aig090315-copy1Retention bonuses? Really? What is there left to retain?

Here is the Bloomberg story on the Treasury’s recent efforts to save our country from finanical disaster, $1 billion at a time.

Written by chucklesamadeus

March 15, 2009 at 4:01 pm

Posted in AIG

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