Friday, August 28, 2015

Now For The Feature Presentation

After 6 years of moral hazard, gamblers were extremely badly positioned for the first leg down. But instead of adding protection, they bought more stock. Meanwhile, those few who were hedged, monetized their hedges out of fear of another V-shaped recovery, leading to the biggest short covering rally in 7 years. If they were badly positioned for Monday, they are far more exposed now...

"It was a bad time to be short volatility"

Major technical damage...

Emerging Markets are pausing in no man's land, at six year low. Levels first reached in 2006...

"Decoupling" for blind men...

China with U.S. Dow:

Hong Kong (Weekly)

German Dax


Canadian Stocks:


Australian All Ordinaries: