yitwail wrote:i haven't read all the posts yet, but seems to me that if something exists, it's necessarily possible.

Who said anything about narrowing it down to things that exist? When anything is said it does not mean "any physical thing."
msram, here is a proof that gets at what you were trying to say only this one is correct:
1) Everything is possible
2) This is a statement: "Everything is not possible."
3) Therefore, it is possible that everything is not possible.
4) Therefore, everything you can imagine is a counter-example to the original statement.