Even A Stopped Clock
Well, don’t come crying to me – I told you guys not to step in front of this speeding bus – and I fervently hope you heeded my advice. For some reason I keep seeing comments suggesting that some of you are still waiting for a turn. Which puzzles me a little bit – here you got a tape that just won’t quit, and instead of buying the dips you keep waiting for a u-turn. Meanwhile the shorts are being set on fire and with good reason – as long as there are suckers with an opinion left this thing is going to boil higher. Yes, eventually there will be a correction but until then why waste time and energy (and money) predicting it? If it’s any consolation – even a stopped clock is right twice a day
But right now I worry less about equities than the pope’s retirement plans. I mean for crying out loud – in my book there’s only one way for a pope to retire and that’s via appointment with St. Peter! By the way the same applies for evil speculators – most likely I’ll still be posting nefarious charts while my long legged Swedish nanny is pushing me over the cliff. Heck, it’s a good way to go – you’ve got to know how make an exit.
Anyway, bonds are picking up momentum – to the downside. The 30-year is starting to look like a saw blade and I love those touches near my falling diagonal. The 25-day SMA is not far behind – use that if we get breaches above the diagonal.
The 10-year seems to be more stubborn and right now I’m seeing a little rising diagonal that appears to be failing. The 25-day is right above, so either way we’re getting a breach today.
The Dollar – my old ‘Sorgenkind’ (look it up) – no big surprise we’re getting an SMA retest. Can’t have ole’ bucky breach any meaningful resistance, can we? Not on Bernanke’s watch! Anyway, I digress – let’s stick with the technicals. No matter what I think about the Fed’s machinations this chart tells me to be long until that 100-day is being taken to the woodshed. I’d be short again below the SMA and that conveniently placed NLSL at almost exactly the psychologically important 80 mark.
So we’ve got a real inflection point here – if you missed the first entry then this is a great spot to get positioned. If we breach 80 and fall back below then here may be a good spot to establish some hedges. Assuming of course you pay your bills and groceries in Dollars and not with food stamps.
This entry was posted on Tuesday, February 12th, 2013 at 2:05 pm. Both comments and pings are currently closed.