The Dow 30 collapsed by 0.20% today, failing to make another lifetime high and compelling whiney permabulls to demand Congressional investigations and the Federal Reserve to double its budget for Adult Depends for their Chair-person-thing.
I actually had a decent day thanks to oil, but I gotta say, the chasm between energy stocks (which I am short) and oil (which I am not, but which is collapsing) is really pissing me off. They used to be joined at the hip.
The market is stuck right now, waiting for some kind of resolution. For example, our Ichthus pattern from long ago (magenta tint on left) got resolved to the downside, although it took months to make its mind up. Our present range, tinted in green, will be terminated either by new lifetime highs (green dotted line) or a failed bullish breakout (blue dotted line). You can guess which line I’m rooting for.
The big picture on the Dow 30 still screams the same thing: we are very highly overvalued and extraordinarily prone to a drop. Of course, since Hillary is (evidently) capable of getting away with murder, it’s trivial for them to keep this farce propped up until the Witch is elected our new President (at which time, I absolutely guarantee you, she will be the most hated president in U.S. history).
The tech-heavy NASDAQ took sixteen years to do it, but it’s finally matched its DrKoop.com, Pets.com, and TheGlobe.com hysteria of 2000. Geniuses we all are, each and every one.
In all of this, my dearest ally remains the VIX, which – – for years now – – seems to be hitting a major bottom, oh, right about now, and right about at these price levels.
It’s good to be back in Palo Alto and in front of the camera. Oh, and I wanted to say one other thing – – during my Friday temper tantrum, I declared myself a person with “no talent” and “no future.” That’s obviously an absurd statement beyond belief. I won’t recount my achievements, since it would be bragadocious (and repetitive) to do so, but I will simply say I wholly recant the statement, as I am about as “untalented” as Hillary Clinton is honest and have about as “no future” as Bill Clinton has been faithful to his marriage. So there.