That was some monster rally! It was special in many ways. This was the biggest SPX rally since 12/20, biggest VIX Drop since 5/21 and biggest 10 year yield jump since 3/14. But we are not surprised because we knew it would come. I have been writing about it since: gosh, I even forget myself. This is the reason I did not short the market even when SPX broke 1284. I am afraid I keep repeating myself so very often that you might find it un-exciting. But on the other hand, I have called most of the major turns and bounces correctly without being dramatic. Now that the rally is here, what do we do with it? That depends what is your goal. Are you able to follow the futures overnight and be ready to pounce on the keyboard of your computer the moment the market opens? Do you consider yourself a nimble trader? If so, then you are ready to play. But if you have a regular job with kids and family, you have to go to office in the morning and do hundred other things besides being glued to the computer, you might give it a pass. For those regular folks, cash is king.
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Year Zero Approaches
My friend Rob Reid has his first novel coming out July 10th (and, when this is a movie in a couple of years, you can say you read about it first on Slope). Here's a teaser he just did for the book, which you can pre-order with this link.
Reality is a Jungle Not a Zoo (by Mark St.Cyr)
We hear the phrase “When reality bites, it bites hard.” yet many never contemplate just how hard or from where the teeth can lash out. More often than not when I’m discussing issues with someone they’ll somehow cloak an aura of encompassing protection from harm. Sometimes it has the dubious form that tragic results could never happen because if they don’t “think so,” well then that’s all that matters. Facts be damned. This is usually the tell-tale signs that these are people whom only think emotionally, not logically. You can’t argue or help change their viewpoint. They don’t care about anything else than telling you that you’re wrong regardless if they even understand the topic. Hence my use of the jungle vs zoo reference. Same animals within however one is far more dangerous than the other.
More often than one may realize many people are navigating their lives as if they are navigating the path within a zoo. You can tell them ad nauseam the injuries the animals within can inflict yet they seem to fall on deaf ears as you see them walk down the path where there will be no cages, no bars as to keep the dangers at bay. This is the path of real life and it is a jungle not a zoo with quite ferocious players contained within. Problem for many is they found out just how untamed and savage these financial markets can truly be. For some it will have lasting repercussions.
Harry Boxer’s Charts of the Day
Originally published on TheTechTrader.com.