Washington Mutual Begins Auction to Sell Itself & Morgan Stanley Gets Call from Wachovia Expressing Interest

Nope. Stay short, any rallies should be selling opportunities or additions to existing shorts. Not done yet. Read the "cramer fear" in his 1987 column today - FINALLY, he's figured out the situation. We are not done yet b/c no one is willing to give up their cash. and by that I mean banks won't lend overnight to each other (LIBOR today as an example) which means the confidence game is OVER.

I can see that the obsession with buying "cheap" financials continues......

Gurughantal, (and I say this tongue-in-cheek) there is a favor you can do all of us: Go ahead and buy some financial companies right now using real money. Buy some WM and MS. Maybe throw in some cheap AIG and GS too. There will come a time where it has dropped enough, that you will have had enough. You will be totally fed up. The day that happens, POST HERE and let everyone know that you can't take it anymore and you're tired of losing money in financials.

That is called capitulation. You will serve as an excellent indicator of an interim bottom and help everyone make money. I say this half jokingly (but only half!), because I hope you know I really don't want to see you lose any money. On the other hand, it is obvious that you have a very persistent desire to buy financials because they are "cheap" which means you are representative of the die-hard financials buyers. The financials will be done dropping when all of the die-hard buyers have sold their positions (capitulation).

I have noticed that you simply cannot give up the idea that there is a bargain to be had here. Maybe I'm wrong.....maybe there's huge value there and you make out like a bandit. But with all of the nonsense going on ...... the lies.... the deception... the fraud... the option ARM loans still out there that haven't even reset yet, I will bet that the financials will suffer more.

So please, follow the instructions above, and let us know when you're finally done losing money in financials. On that day, the day you sell your positions at a loss because you're tired of holding on anymore, I will buy some UYG knowing the perfect indicator has triggered.

Harry I respect you and your opinion to keep me away from financials. I also mentioned that i love your pics and in fact i bought them in real life too. I ask the question to know what others are thinking.

Personally i believe we are far away from the bottom yet, but i play with the volatility in financial for some quick bucks. For long term i am not interested in financial right now. I like steel, energy, natural gas etc.

Once again thanks for your input to keep me and my money safe. :-)

There is still trillions of dollars of debt to be destroyed and written down in the future.

I agree with dirtyharry, we are still far away from capitulation. I disagree, in this case, that there is need for any indicators of a bottom. There are only nine single digits for UYG to occupy, after all.

Financials are the new dot-coms and telecoms. Remember Enron. The reality of how f*cked they are is known only to the most inner-most of insiders; whom are busy with insider selling and buying SKF themselves.

Interesting conversation. I don't think you can tell what's happening in the short term with financials (or at least I can't), but considering the long term I do think BAC will profit tremendously from all of this. It's the only financial I plan to own for now.