Thursday, May 26, 2016

The Banquet of Consequences Is Set

Social Mood aka. "Panic" will take over from here...

Mega Caps at all time highs (S&P 100)

Volume, volatility, liquidity at all time lows

(stop me any time)

Trade war/China devaluing nightly

EM Currency implosion

Oil in blow-off mode 

JPY carry one year downtrend

The Fed in tightening mode

Gamblers reaching for yield in 4x overvalued dividend stocks

Cash Balances all time low

Global investors stampeding into Municipal bonds

It took one month to fall 84 points and four days to retrace 80% of that loss...
Wave 1 green down equals 84 S&P points
Wave 2 retracement 68 points: 81%
Biggest short-covering rally in two months...

Three declining shooting stars on the weekly...