This is a manipulated bull market, how long can it last?
- Thread starter apple
- Start date
Not sure what you are trying to say but if you look closely at D1 or W1 timeframe, going up is completely normal before it falls again. I know there's crisis in Europe but this is the reason why technical analysis is always more important than fundamental.
In the next few months, we have about a thousand things that can happen in September, but regardless of what happens there Spain will need a soverign bailout by October, guaranteed. Their two or three largest "state" equivalent territories are flat broke. Go on WSJ and search for the headline 'Madrid hints at bailout'...This is coming from the same Rajoy that said "No, we will not need any sort of direct bailout for our banks". Within two weeks they inked a deal with the ECB to have â¬100 billion on tap.
Think if California, Texas, New York, and Oklahoma were all flat broke, our Federal government had to prop them up, which was already almost broke itself, the Feds would need more money ASAP, that's where Spain is at. Combined with the recession in the rest of their entire continent, seriously.
If Madrid strongly denies needing a direct bank bailout, then takes one within the month, what the hell do you think "maybe" means coming from them?
Think if California, Texas, New York, and Oklahoma were all flat broke, our Federal government had to prop them up, which was already almost broke itself, the Feds would need more money ASAP, that's where Spain is at. Combined with the recession in the rest of their entire continent, seriously.
If Madrid strongly denies needing a direct bank bailout, then takes one within the month, what the hell do you think "maybe" means coming from them?
Hence the OPs premise. This run up is identical to the BS slow grind up before the 2008 crash. Since 2004 everyone knew housing was a ponzi scheme waiting to burst, yet It was 4 more years before the retard market woke up to that fact. Since nothing in wall street has changed, and the same sociopaths are still calling the shots, I think we can expect identical market behavior.
I expect many months of garbage low range days on light volume, then when one of the weaker EU nations actually declare bankruptcy then we'll have a 1 day pullback taking out a months worth of up move. Personally I no longer daytrade and am buying puts at areas I think market has resistance. I bought ITM Sept QQQ puts today to add to exisiting put position, I'm expecting a small shakeout to clear out weak longs if Spoos fails to break above last weeks high. This is a very dangerous market for being long or short in a levered situation. With options you're protected in that all you can lose is the options purchase price.
I like that advice!
I may add.... just for extra insurance bring the Koran, prayer beads, gas mask, anti uranium pills, periscope, white flag and a pump in case your hole fills up with water. Oh Hoofhearted, maybe a horse as well to be able to ride out of town. And several guns!!! Every American needs guns to shoot the baddy cause Americans love to have a baddy.
WE ARE BREAKING DOWN