Good morning, everyone, and welcome to a new full 5-day week without any ridiculous holiday. It’s good to be back. Please note that the government’s efforts to strangle volatility out of the markets has met with glorious success, comrades, as we have matched the pitiful levels of Groundhog Day. We almost got a 16-handle out of this poor bastard as your tax dollars are devoted to strangling the life out of the free markets.
Reality is still holding a flimsy grip on the situation, however, preventing the S&P 500 from instantly soaring to 7,000. We can see here, again and again and yet again, how prices have been hammed in by the descending trendline and, at the extreme, the major Fibonacci retracement. Good job, men.
As I was typing these words, the /ES, /NQ, and /RTY all were simultaneously +0 on the screen (pretty exciting times, eh, kids?) while crude oil, bless it, actually was mustering a red number of almost two-thirds of a percent lower. It is also threatening a breakdown from a minor support level at 81.65.
I’m coming into the day fairly fully loaded, with 5% cash and 95% in 27 different bearish positions. There are only about 13 true trading days of the earning season, and it commences tomorrow.
As an aside, last night I did something which I hardly ever, ever, ever do, which is to go see a live show. It was They Might Be Giants, which is absolutely top 3 for me (maybe #1 even) and pretty much the only group I would gladly go see. We had a terrific time. Thanks, John & John.
