I'm still very very bearish and there is lots of lots of bearish signals and a reversal of a reversal of a reversal , which means a top is in, and its a process. I am looking for a long RED bar today in the markets. One of my favourite swing trade indicators gave a SELL signal 19th october the summation index and its still crawling down from here. That means there is a 80% or so possiblity that the TOP is already in, I'm looking for a SHARP correction to come when we break the support zones, and lots of gaps to fill below. SPX target still 942 short term.
I think when FAT fingers are ready they will slam markets down heavy , like we see -4% , -7% days , but lets see... it will be ugly.
The semidonductors not following markets and they are about to breakdown hard....
MBS - Mortage Backed Securities - bought by the FED, Blackrock AND PIMCO! for the last 6 weeks have a PURPOSE !!!!!
Why would they roll INTO MBS's??? Because they helped cause the foreclosure crisis! That's why.
Blackrock is owned by BofA, and Blackrock is the largest shareholder of BofA!!!
Why would you sue your corporate master and your investment??? Why would you bet the house on MBS's, on the CUSP OF THE CRISIS???!!!
BECAUSE - The Bank of America coming foreclosure crisis, and the coming crisis for Ally, Wells Fargo, et al...WILL BE BACK STOPPED BY THE US TAXPAYER!!!
All that they need is another crisis during the coming lame duck congress!!!
Last night, I saw one breif news headline, about the FED's conflict of interest int he effort to potentially sue BofA!!! Not another mention since then!
YES...it is a TRUE conflict of ethics!!! For the FED Reserve to help create the foreclosure crisis, then invest in the broken mortage tranches, then sue the BofA that they have hold over! It's like your left hand suing the right hand for your smoking habit, all while the left hand held the lighter!
Create FED leaks and put FED Regional underlings on MSM propaganda channels saying QEII in coming. Get Pimco and other lemmings to chime along. Make September and outstanding month to prove it. Now while we wait for Nov. 3 meeting to confirm the QE dumping of trillions to save the economy what could possibly go wrong. Ocotober!
October; UE sideways- oops but keep buying our stocks, Beige book- fair conditions - oops but keep buying our stocks- Philly Fed shows marginal improvement- oops -but keep buying our stocks. Market and corporate profits are doing fine, nothing to worry about - go ahead buy stocks! Its October 21st and the transfer is not complete but making progress. As soon as the QEII is either delayed or underwhelms the market is okay to crash since the big boys were able to off load and prepare along with the FED and let the rest of the world eat cake.
100% short - long the dollar.
Have a nice day
No comments:
Post a Comment