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.

Thursday, February 25, 2016

Waterfall Crash: Base Case Scenario

ZH: Feb. 25, 2016

Taking Back the 50 DMA (Today) Was Crucial To Bull Case

This is either August all over again (higher) or 1929/1987, lower. Why waterfall crash lower? Because JP Morgan put out the call to short 1950 which Team Groupthink did en masse up to 1945, and then got hammered during the past two day short squeeze. In other words, they're ALL IN...

Let the charts decide...

My overall take is that this "rally" is all about short-covering and recession stocks. In other words, we've seen this movie before...

Casinos and consumer staples:

Double death cross: We've never seen this before...

6 month overbought:

NYSE McClellan Oscillator

Back into heavy resistance...

Index call/put ratio: someone is out over their skis...

JPY Carry divergence:

Oil divergence:

Alibaba aka. Chinese Stocks which tanked last night -7%:

Treasury yield divergence: This is not August...

Transports have finished up their retracement...

Recession stocks finishing up a colossal rising wedge...

European stocks: Now this is a buying opportunity if we've ever seen one...

I suppose if it was someone else's money I would roll the dice. I don't want them to think I'm sitting in cash...

52 week range of average stock:

World ex-U.S.: What could be more bullish than this?

Financials: "Recession? La la la, we can't hear you"

Nasdaq lows:

S&P / $USD ratio: Another coincidence...

One or two global banks going FULL Lehman, won't derail this party...

Price momentum (S&P):

Price / volume

Realized volatility:

Everyone piled into Exxon at the end last time, but I'm sure this time the end result will be different...

Exxon / Energy sector ratio: