Ponzi World (Over 3 Billion NOT Served)

The globalized economy is a colossal Ponzi Scheme in which the vast majority survive on the bread crumbs falling off the table. The possibility of 7 billion people achieving a consumption-oriented lifestyle is zero, so the World Bank conveniently set the poverty line at $1.25/day to legalize global slavery. As long as someone else's children are doing the suffering, it's "all good". Post-2008, this illusion was extended merely by plundering all future generations.

Monday, June 13, 2016

Volatility MegaPlosion On Deck

Step 1. Close all of the doors to the Hotel Californication. Check...

The new momentum trade is 2x volatility...

Volume is well above recent average, and Volatility of Volatility is skyrocketing...

Binary Risk Visualized:
JnJ with the VIX
I think we all see where I'm going with this...

No one on Wall Street hedges during Fed week, especially with VIX at these levels...the next 24 hours are the best 24 hours of the entire year...

"FOMC meetings account for 80 percent of annual realized excess stock returns."

It's the Efficient Money Printing Hypothesis in action.

Hence it's very inconvenient that stealth gap 'n crap is taking place right now...

I assume that this 2x volatility (UVXY ETF) short interest is being force undwound...
https://www.quandl.com/data/FINRA/FNYX_UVXY-FINRA-NYSE-TRF-Short-Interest-UVXY

10 DMA

Confirmed. The new momentum trade is 2x volatility...