Financial history doesn't repeat itself, but it often rhymes. You can't be stupid enough to trade off anything I say.... I'm lucky they let me out of the straight-jacket long enough to trade.

J. P. Morgan

"Sell down to your sleeping point"

Monday, March 23, 2009

Good morning

Gov. Howard Dean points out this morning....

  • It's the House's job to be crazy... and for the senate, president, and judicial system to keep the reins on.
  • ALSO "IT'S NOT CAPITALISM TO PAY PEOPLE FOR FAILURE."... what? WALLSTREET not capitalism!!!!! you don't say.... maybe crony capitalism, and Lemon capitalism.
Over the weekend there was plenty of populist outrage... a very lousy story in Rolling stone... Almost as unreasonable as CNBC... Let us just point out that as Dean pointed out that "PAYING FOR FAILURE IS NOT CAPITALISM"... and of course that isn't anything you hear on CNBC... as much as they defend capitalism.... where is CNBC on that issue?

20 comments:

Tony said...

Shorts got spooked... see if it develops into a trend up day.

Eric said...

by 200+ futures.....

look for an ascending at that 800 level

Tony said...

Ascending on the daily chart?

Looks like maybe another up-leg

Internals very strong, I would think any pb is small.

Tony said...

Did I miss T.Lo's podcast this weekend? I can't find one on the site.

Eric said...

maybe hourly...or just a pull back till 14:30

Eric said...

or not

Eric said...

I didn't see one..

Just to be an ass... I think she got spooked by saying "All in" then like she said, had buyers remorse..

but also... sometimes it's just sentiment...

Tony said...

Case in point: Upside can make great trades short, but never does well on up days. He is trying to short GS and long SRS. Why doesn't he just turn the charts upside down?

Tony said...

Seeing more evidence of the "melt-up" phenomenon you pointed out last week. Everything is up or at least even. GLD, SLV, TLT, TIP, HYG, BND, EEM....

Eric said...

they are selling 2 asset classes....

expect it to behave like a bell curve.

buying all but 3

then all but 1 or 2

buying all assets

then we revert to normal corelations.

I think we just got the pull back for the ascending

Eric said...

The great thing about blogs is that we can get a good sense of who we are playing against and how they play.

We have upside... a failed Hedgie(he says)
TK... who is just awesome.

Adam's options... a former "Market maker"...

check out cobra's market view...

http://cobrasmarketview.blogspot.com/

Eric said...

but.. Primaraly... we are just playing game theory with them....

Only they don't realize I can see their cards..

Eric said...

the target of the proposed ascending is what???

can I test you?

Tony said...

Looking at daily chart of SPY, my horiz resistance and target is 81.40 if it brks thru 80.

Does that sound about right?

Eric said...

you just say such things to hurt me...

'horizontal........*grumble*'

ascending triangle is the Trough, to the resistance.
T=Trough
R=Resistance
T-R= VT

VT+R=Target

T=76.50
R= 80.50.

so if it breaks the 80.50 level..

80.50-76.50=4

4 + 80.50 = 84.50

Tony said...

I actually have the resistance (overhead supply) at 80.40 which also corresponds to the 50% retrace from Jan high and 38% retrace from Nov high. Looks like an important level to me. *80.40*

Eric said...

the Horizontal guys are at the 80.40

but the 50DMA....

we broke the 50DMA... so we should hit the horizontal resistance...

Pull back and find the 50dma as support

Then move back...

which is how you end up with an Ascending...

but as part of game theory... pulling out of the market before the target is the thing to do.

Tony said...

So you add the diff b/w near term trough and the resistance, thanks, I see now.

How did you get 80.50, which is very close to what I see as "horiz" (sorry) resistance?

Eric said...

that is the thursday high... ROUGHLY

but we can't caluclate it Untill we see/had seen todays mid-day high.

one of the first lessons of basic Geometry is "2 pts make a line"

when this transitions into trading...

The more points you have in a line/resistance, the more valid it is.
There are many points from 80-81...

so I'm just averaging... Once could call it "purple Crayon" or ... I can give it a rational explination... you want to get out before everyone else...

Eric said...

a limited ascending wont' surprise me..

because the financials are starting to Lead more aggressively.

New Economic Indicators and Releases

What does Blue Horse shoe love?- Blog search of "BHL"

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