Global financial markets are now totally addicted to their Fed dopium and can't survive without it. Billionaires of course want no part in job creation since that would bring a premature end to their free Fed money. They might have to go out and start a real business rather than liquidating the one they have. Fortunately for them, they control the levers to the job market via continued relentless outsourcing which is of course at the root of the broken jobs market and economy. It's yet another conflict of interest, something this dunced society will have to re-learn the hard way. In the meantime, the stewed masses sit at home fat and happy cheering the Dow higher, even as the job market fades into oblivion. And were it not for the ongoing plundering of the children and grandchildren via recurring Federal deficits, this entire illusion-formerly-known-as-the-economy would still be in recession. You can't make this shit up. Meanwhile, hedging risk is totally impossible, due to the incessant shellacking dealt by manic melt-up markets. A market that can't be hedged and at the same time is vastly over-inflated, is one that will inevitably collapse with extreme dislocation.
Quantitative Easing is a Jedi Mind Trick for the Masses
The Idiocracy has discovered the secret to "effortless wealth" - money printing...
The Value Line Arithmetic Average:
Celebrated the new Dow High by going even more parabolic, if that's possible
This chart alone tells me that this entire era will come to a close much more "abruptly" than most people are even willing to contemplate
This "rally" has lost momentum
NYSE Advance-Declines 5 DMA
The Death Knell
Advance-Decline 20 Week Moving Average
Similar to the chart above (since it's the same data on a longer timescale), - no rally for weeks, but now a meager uptick. As I've said before, this indicator bottomed prior to Lehman and then actually rallied into the Lehman collapse i.e. the damage had been already inflicted to the majority of stocks leading up to Lehman...
Chinese Internet Stocks
Priced at $13. Gained 300% in one month
TRIN 200 DMA: Massively Overbought
When this turns up, shit will break...
Canadian Solar. Operating loss per share: $4
Percent of Stocks Above Their 200 DMA
Already Breaking Down
Sector correlation from 2003-2007 and Now...