PANIC ATTACK

http://www.nytimes.com/2011/08/07/business/neurofinance-shows-how-investors-can-shun-reason.html?_r=1&hp

Now I could be wrong, but I am fearful (for those long) of the open on Monday and beyond. You can see how quickly PANIC can set in. DO YOU UNDERSTAND this process forever repeats itself?

That what I track in the market is this never ending struggle between GREED and FEAR and it ALWAYS goes to each extreme before she pops, bursts. ANd ALWAYS the little players are buying near the top, selling at the bottom. Now the little guy has either been sitting tight all this time, or has left market maybe for good after 2 brutal bear markets in 10 years.

In the meantime, thanks to reckless ineffective FED policy of 0% rates and TARGETING the stock market for appreciation, you have lots of BIG PLAYERS loaed to the gills long, and maybe not too many greater fools left to sell to.

NOW ADD uncertainty to the Bond market, how will the US debt downgrade effect the interest rates on US bonds? How will those who hold them react? WILL THEY WAIT until one of the remaining 2 agencies make their ruling. Fitch and Moody's?

My chart of the Bond Bull now 29 years old......that is a bull or bubble you don't want to see popping.