Thursday, March 31, 2016

ZERO LIQUIDITY: The Status Quo Will End Overnight

"Global collapse was a 'buying opportunity'"

All sources of liquidity have been systematically depleted over a two year period. Meaning that all global risk markets will vertical collapse at the same time...we've only had two years' of notice...

Zero Liquidity visualized Today:

Zero Liquidity visualized 2010 and 2015:
On August 24, 2015 Dozens of ETFs including the one below, lost five years of gains at the open...
Trading was halted 1200 times on individual securities. 600 ETFs were halted.
In the first half-hour, volumes were 10 times the average... 

The bear market began in 2014 at the same time as the QE tapering. It began with cyclical sector implosion, the Global stock market peak, oil peak, credit/junk bond peak, China FX reserves liquidation. 

Subsequently all sources of liquidity have been systematically depleted: Carry trades, Central Banks, Momentum traders, Profits/buybacks. 

All of which is leading to ZERO LIQUIDITY.

China FX Reserves with All World Index:

NYSE Liquidation (Total volume):

Transports: "Is this the end of the bull market?"

Oil / oil stocks

Small caps with 52 week momentum:

Relative strength

Junk bonds

Global Stocks w/correlation to S&P:

IPO proceeds:Year-to-date -88% compared to last year...

JPY aka. saving this for a special occasion...

Euro Stoxx aka. "The IQ test"