Hard to call that now, with the fed out of everything possible to prop up this market I could lean back on 2009 lows, however Im going to be more conservative and say somewhere around 11,000-12,000....
Gotta love ZERO RISK in the SP500 = $$$
- Thread starter makloda
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Hard to call that now, with the fed out of everything possible to prop up this market I could lean back on 2009 lows, however Im going to be more conservative and say somewhere around 11,000-12,000....
Yeah, it will test well in a low vix, centrally planned bull market...it's almost robotic...just like in 07, once the market starts having some >2% down days, that trade blows up (and it does so spectacularly)...after all, 8/24 alone would wipe out probably a years worth of gains (if not, many months of them)...
Yeah, I trade the downside far different than the long side...There will always be some form of intervention (typically short term, but still significant)...it might include buying short term calls to hedge some LEAP's puts or whatever, but it still has to be done...
There will always be some form of intervention, I believe the next form of intervention will be the fed clearly calling out that there will be ZERO interest rate hikes for the rest of 2015, the next is NEGATIVE interest rates which I have been calling out for months, and more QE.....trust me they will do anything and everything to prop this market up once its in free fall, what we saw on August 24th was just a sample of whats to come, the markets are headed back to those August 24th lows once again, once they break below that will be entering a new bear market, many claim the bull market is still here, its not, its over with, 6 years old, how many more years do they want to squeeze out of this bull market, the new bear market is coming very soon, sell every and all rallies and get ready for plenty of downside to come.....its going to be quite a picture when the fed tries to save the economy once again, its going to be hilarious to see them struggle to find a way to get out of this next crisis...
I know they will do anything...we've got at least a decade to prove it, lol...
It speaks volumes about the mindset of those "in charge"...it's become a political CYA approach to managing expectations and asset reflation...IOW, there is too much pride on the line that this could ever fail and that the over-privileged boomers with there constant expectation that every bust requires an immediate "boom cycle" to bail them out...
Someone on a blog commented recently that everyone he spoke with about the 8/24 "glitch" seemed blase about the whole affair...they don't even bother worrying about a potential bear market or "correction"...the complacency is unprecedented amongst those who sit on their mutual funds...on the contrary, the people who actually pay attention to this stuff are on the other side of the extreme...it's a very strange dichotomy nowadays...the traditional mutual fund manager who always see a bull market (aka Tom Lee's of the world) vs. the leveraged hedge funds that re-position and/or use the Fed put, but will bail en masse if they lose confidence in it.
those days leading up to 8/24 showed what is really underneath this market...alot of air...that Fed meeting last week gave this market almost a month to chop sideways/higher...
LMAO, ET.
