The Cat’s Out of the Bag

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My endlessly-cited idea to short Caterpillar and John Deere seems to be panning out nicely, in spite of yet another trillion-dollar boondoggle from the Feds (this in the form of an “infrastructure” bill). Caterpillar has already lost a lot of ground, although latecomers may get a second change if something like this happens:

Here is the longer-term chart, showing the failed wedge.

Deere has likewise topped out. I strongly suspect both of these stocks will be vastly lower by the end of the year as well as the next.