Back To Basics
Here is one sign that is sometimes early – but rarely wrong:
Well, I have a better one – simple but effective 😉
Nice cross-over on my weekly stochastic – the heat is on for the longs. This chart has only failed me once on a long term basis – which was obviously in summer/fall 2009 when nothing could stop a relentless POMO induced melt up.
Let’s see what happens this time. But the odds are slowly starting to shift now. I want to see the Dollar punch higher here as well – in order to bring down equities we need to see several factors combine and produce a downside pull that even Bernanke’s printing machines cannot cope with.
Again, I don’t have high hopes for anything significantly bearish ahead of the election. But wouldn’t it be fun to see a meaningful slide just going into the final weeks? Yes, maybe a dash of Schadenfreude here – sorry, it’s genetic 😉