Friday, February 24, 2012

INSANE IN THE MEMBRANE

Futures show green open, wee Dow 13,000 and hold? Ponder.....2% 10 year yields show either extreme FEAR ad DEFLATION or manipulation. there was extreme manipulation after tech bubble burst, how'd that turn out? OH we got 3 years of fun and higher stocks, actually new all time highs by 2007....then how'd that turn out? NOW, we have HISTORICAL intervention, 0% rates guaranteed for another 3 years making it 6 YEARS of 0% FED rates for banks....how's this gonna turn out?

Gap earnings off 44%, but they will buy back $1B of stock? (boy they got that much cash?) and raise divi 11% (more cash and more profits for that too?)

STocks rallying, oil and gold because of WEAK $?  How's that coming $4 gasoline feel? DOES OIL above $108 begin to threaten ecocnomy?  YES

Traders talk: see 1350 SPX key level to HOLD for nice 2nd half of year. VIX falling to 18 level, after historic level of volatility last year, this year not even 1 90% volume day? Complacency?

Market due for push back that doesn't seem to come....

D

2 comments:

The Average Jay said...

Just have to keep on waiting. They need to keep it high for the King.

Marc R said...

Jay, alright you're still around....been quiet. My only question is now that VIX is dropping, is it harder for you to make money? Do you switch strategies and swing trade...
A Recession seems to be brewing, stock prices aided by FED action, not economic activity...a false
g-d....how much more can the sloching money printing take this market? and the price? back to the lows...