Postcards: Buffett, Beaches, Bars, Boats, and Profits...

I received an email from Porter, who encouraged me to unveil my favorite trades... and put a little sunshine on them. Welcome to the "Buffett Beach Bid" trade.

Market Update: This feels like a short squeeze as we are now at all-time highs. Our S&P 500 signal is positive, but that’s largely due to crowding in stocks like Apple (AAPL) and Microsoft (MSFT). We’re still under pressure and volume is still light. Be cautious.

Dear Fellow Expat:

When I was 13 years old, I saved up my money to buy a boxset of music.

The boxset: Jimmy Buffett’s Boats, Beaches, Bars & Ballads. I still have the artwork in my office - although Compact Discs have largely gone the way of the Dodo.

But it’s not Jimmy Buffett that we want to focus on today… it’s Warren Buffett.

Because Warren has provided us with my favorite trade of the last two years.

And it’s been a profit center for us. Porter sent me an email on Thursday encouraging me to tell you my favorite trades - the ones that we return to on a regular basis.

And I warmly agree with this idea. So, let’s get started.

We dub this simple trade the “Buffett Beach Bid.”

Trading Occidental

For the last 18 months, Warren Buf…