IGT has relieved us of our misery, teaching us the classic lesson-- dont short strong stocks in strong markets.... Gabelli nets $37 million last year as his funds returned -30% to investors...... Nobody wants to tap the Settlement Fund for research. The researches say its not enough to justify their work. Heads of research firms are saying, "Free research is garbage" Didnt investors know this??? Or did they just take dumb pills?

This weekend we will detail our model portfolio to date. Kohls (KSS) Dept Stores is on our stocks to short radar list. Have you ever been to one? Its overrated dreck. And so is the stock. We are short MTG at 47.05 and still short IGT (barely) We picked up a long position in KROL on a nasty pullback today. The full list will be out this weekend.

Here is a novel theory, Wall Street analysts just wrote glowing reports about the airline industry to show the government that they are not all bad. After all, propping up a potentially bankrupt industry, relieves the U.S. government of another potential headache that it must deal with. Maybe this was part of the recent Settlement made in the poverbial smoke filled room?

LABL a commercial products labeling company in some of the very same businesses as AETC, broke out to a new high today above $19 share on improved earnings. So, fundamentally the labelling business for products such as chewing gum, soda and cleaning products is sound. Now the company AETC must get their story out.

The new hot tech product is Satellite Radio. Several new car companies have signed contracts with XMSR and SIRI. Taking a page out of the cable TV concept, subscribers pay $10-$12 per month for programming signals which can be picked up anywhere in the country. XMSR has been a rocket ship, up 250% in the past 45 days. SIRI just broke above $1 today for the first time in ages. Will the concept work? Who cares! There are only two ways to play and the small cap funds are chasing a limited supply of stock.

More evidence that the internal technical conditions of the stock market are improving.... There were no new lows on the NYSE today and only 15 new lows on the NASDAQ. And the advance decline line of all issues is outpacing the underlying averages.

We have instituted a new short on Mortgage Insurer MTG. Sell short below 47 and add to your position below 45. This is a pure play on the bursting of the real estate bubble.

We are still holding on for dear life on our IGT short, which we will cover on any close above 88. Ironically, the stock ITG, is down over 10% one of the biggest losers on the NYSE. Sometimes it pays to be dyslexic.

Slightly positive article in yesterdays Sunday Times Business section on the Corning (GLW) turnaround story..... We are recommending a low price speculation AETC @ $2 per share. They make the wrappers for candy and the 2 litre Soda bottles. There is value there. Its just laying there waiting to be noticed by someone.

In todays Help Wanted: North Fork Bank is looking for Mortgage Default Specialists. Need I say more?

Our horse went off at 9 to 1 odds. He had the #3 position, started poorly, could not keep up with the fast early pace, found himself 12th at the half mile mark. He kicked into another gear as he passed horse after horse in the stretch to finish 4th. Not bad, but nobody gets paid for 4th place if you are a bettor. Lets see if he is entered in the Preakness.