Thursday, June 18, 2015

The Manic Moment. Has Arrived

There are those who see the bubble and those who are the bubble

The Russell 2000 small cap and Nasdaq just reached new record highs . Totally unconfirmed by all things real. 

This moment is courtesy of Etraders desperate to throw their life savings away on profitless biotech stocks, ahead of the collapse

A slight divergence
Biotech versus Railroads: Percentage gain since the 2009 bottom:

Biotech versus Fracking stocks
"The light that burns twice as bright burns half as long, and you have burned so very very brightly"


The growth / value ratio is spiking

It's called "distribution"
The process by which institutions dump stock onto the final bagholders

Nasdaq up volume / total volume

The Nasdaq's monthly new highs versus Y2K

Speaking of Revenueless IPOs
Today's top performing stock is a revenueless Biotech of course

Who is going to buy the unwinding of all of this excess?

That would be no one.