Weekend Update – US To Default On Debt

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Tuesday Update...

Red

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Monday Update... it's not looking good for the bulls!

Red

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Before I go over the stock market I'd like to take some time and go over the picture behind the scenes...

Upon reading Benjamin Fulford's latest report, it appears that the Amero dollar is still being pushed forward, and really is going to happen. I honestly don't see any other way to pay down the US debt other then to create a new currency.

In this plan the Amero will be backed by gold, and the current US dollar will be replaced. The ratio will be 2/1, meaning you will get one Amero dollar for every two US dollars you currently have. Will it really happen? I don't know, but a lot of white hat's (good guys) in the Pentagon are trying to make it so.

With all the debt created by the Federal Reverse Gangsters, it's going to be the only way left to save America. But, that doesn't mean we won't be saved from financial collapse, as that's still going to happen regardless of whether or not the new currency is created, or we keep the current one.

According to Fulford, many white hats are slowly and secretly arresting the gangsters one by one. This is being done quietly to avoid the America people rising up and starting a civil war... which the gangster would love as it would allow them to declare marital law, therefore giving them their power back. This is something the white hats are trying to avoid.

Remember, these crooked gangsters want caustic and disasters to happen. They created them on purpose as it gives them power to control us unknowing scared little sheep. The most important thing you can do, is too inform everyone about their plans, and then they can't do them.

So please do spread the word about this by emailing your friends and having them watch video's on youtube about these crooks. The more the sheep (us... as in you and me) become informed, the harder it is for the wolves (gangsters... aka Federal Reverse Illuminati Nazi's, member's of the Bilderberg Group, and those attending the Legatus Pilgrimage), to control and kill us.

You know, I started this blog to write about the stock market. I just never knew how much it was manipulated and controlled by "The Power's That Be" (TPTB). So when I go off subject like this and talk about the gangsters plans, it might not seem related to the market... but it is!

So hopefully you don't think all this stuff is just B.S. as I'm not the one making it up... I'm only reporting it, and spreading the news about it. If you've been brainwashed by the mainstream news all your life, hopefully you are now more aware of the what's really going on in the world we live in.

"The Truth Will Set YOU Free"... so spread it!

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Moving on to the technicals...

From looking at the clear "option expiration" Friday manipulation, I'd say that Monday isn't likely to go up much further. It's likely to be a "pause" day, or flat... meaning up and down throughout the day, but closing with a spinning top, or "doji" candle.

On Tuesday we could get a down day, followed by an up day on Wednesday? But overall, I just have that feeling that the direction isn't going to be straight down... yet! Meaning, I'm looking for some choppy action next week, to lure in some bulls and shakeout some bears.

With the daily chart curling back up, and the put/call ratio too high for another sell off to happen, the market is likely to have an upside bias next week... especially early on. But by Thursday and Friday, we could see some selling going into a 3-day holiday weekend (Memorial Day).

I'm not sure on that, so we'll have to wait until those days get here... and see what the job's data comes in at. Remember, we still have that FP of 111.17 spy, and the FP of Dow 8300... of which, they will both be hit. There is also the September 9th-20th Legatus Pilgrimage, and we still don't know it we are going into that time period making a low in the market, or a high?


If we rise up to the FP of 111.17 into the meeting, then that would be a high... meaning that they would sell off the market after the gangsters cash their checks (from selling at the top in April, while telling the public to continue buying of course), and funnel the money out the country through the Vatican secret banks so they aren't exposed or tracked.

This move up would also be some sort of wave 2 up, with the following down move being an assortment of wave 3's... depending on how you count the waves? Regardless of the count, the next wave down would be a very powerful move.

Now, the other count is more bearish on the short term as it has us only going up to the 1070-1080 area, making a wave 4 up, with wave 5 down to take out the 1040 area and possibly the 1010 low (although I think it won't take it out on the first hit, but instead bounce back up for a larger wave 2).

Here's something else to think about, according to Fulford, the US is going to default on it's debt by this September 31st (actual quote below):

Despite its fearsome appearance, the massive US saber-rattling is mainly a negotiating tactic aimed at ensuring the best possible deal in the upcoming US bankruptcy proceedings. The US will be forced to default on its international obligations by the time of its September 31st fiscal year end.

Even the cool-aid drinking, brainwashed “journalists” and “economists” who believe the corporate media’s false reality must be suffering from cognitive dissonance at this point. The US government’s fiscal deficit is so huge now that even if all countries that have a trade surplus with the US invest their entire surplus in US government bonds, there will still be an annual shortfall of about $1 trillion. This is being made up by Federal Reserve Board printing presses but that is only a stop-gap measure. Any rational analysis even of the cooked data provided by the US corporate government will reveal the situation to be unsustainable.

Now to me that looks like the Hindenburg Omen coming late this September!  So let's think about this for moment and try to piece together what has already played out, versus what we think is going to play out.  I was assuming, or guessing that we would go down into the Legatus Pilgrimage, and then rally coming out it with Stimulus package number whatever (we all know that they have secretly many stimulus packages into the market that wasn't reported to the public).

Even Reinhardt has purposed the idea that more stimulus is what's likely to happen after the pilgrimage (although he is just speculating just like I am).  But, Bernanke just spoke on Friday and said that the Fed's would inject as much stimulus as needed into the market (errr... economy, but we know he means "the wallstreet gangsters").

Ok, if he's already "let the cat out of the bag"... what can they do to stimulate the market after the Legatus meeting is over with?  Let's assume that we are going up to the FP of 111.17 spy in the next few weeks, and it's based on Bernanke's promise of more stimulus.  What's going to rally the market after that?

Isn't wallstreet known to "buy the rumor, sell the fact"?  Ok, well the rumor is that more money will be injected into the market if needed, and the fact is... it's already being pumped in there right now!  And if we see a move up to the FP of 111.17 spy, then we'll know for sure that the money is already in the market.

Remember the link about George Soro's selling everything he own's in the US market?  Do you really think we are going to make a bottom into the pilgrimage and George is going to buy up all the assets with the Dow at 8300?  Or is it more likely that he sold out in April-June and is waiting for a real bottom to happen before coming back to the US market?

This guy is a Billionaire and can't unload everything in only one day... it takes weeks and maybe months to unload that much stock without crashing the market.  Therefore, logic tells me that he's looking for a lot lower price then Dow 8300 to rob the America public again (err... I mean buy up stocks a heavily discounted prices).

I think he knows that this market is going to fall off a cliff in the next few months, and has moved his money out the country into whatever else is safer?  These guys control the market and know ahead of time what is going to happen.  I'm really leaning toward a move up now... into the September 9th-20th time frame and then a huge wave 3 down to wipe everyone out.

Right now, there are too many bears out there, and I think the only way to kill them off is to take it higher then everyone expects.  Since most people are now expecting the 1070-1080 area to be the target, and then wave 3 of 3 of etc... to begin, let's fool them all and take it up to 111.17 spy.

It makes sense too me, as it will allow the daily chart time to go back into positive territory before rolling over late in September, into a large set of wave 3's down.  I could be totally wrong on this, as most people are now calling for the next leg down to occur next week or the following... but it just seems too predictable, and when it's easy to read "it doesn't happen".

Plus, there is this article by ZeroHedge that states that Goldman Sachs is now publicly bearish and calling for a possible move down to 900 spx.  Well, since Goldman is full of crooked gangsters, I can deduct that the position there are now taking is "Long", as they tell the public the market is crashing.  If they are short term bearish, I want to be short term bullish... because they alway lie!

Remember, they are "the Fox" and we are "the Sheep"!  They are trying to steal your money, so don't believe anything they say... I certainly don't.

Ok, that about enough for this weekend post.  Sometimes I get long-winded and talk too much, so I'll close for now and wish all you bulls and bears good luck next week.

Red

172 COMMENTS

  1. Gets me nervous when I am in tune with this fractured blimpy market. Just because I am paranoid, does not mean that HBB is not out to get my money.

    Joking aside, the main currencies that I am following, the British Pound, aka Cable, and the Euro are sneaking upward, dragging SPX with them. In reality they kind of drag each other, sometimes SPX (or /ES futures) leads. When they diverge greatly, something big is up.

    Europe open tonight should be instructive. In keeping with the market maneuvers since the “Great Recession” started, continue to expect significant moves in the market on the weekends, holidays, or nighttime trading. Those are the same times the Black Swan will show up.

    We all can use a good spotter at times.

    http://oahutrading.blogspot.com/

  2. Mutual Fund Money Flows – A Special Treat
    Making charts from raw data, how old fashioned!

    Charts on the third post down from the top, please stop by and comment
    http://oahutrading.blogspot.com/

    Here is a special treat for you. I haven't updated this chart since january, note that the data is already a bit old, June 30. Seems like just lately that alot more money has flowed to bonds.

    Short and sweet: BONDS ARE A TRAP!

    All the HBB financial adviser bullshit about portfolio re balancing, shifting your bond/equity asset allocation, etc, it just that, a bunch of bull. Bonds are a promise to pay, a paper asset.

    Read this chart carefully, it's a real winner. Especially if you are holding a bunch of bonds and feeling safe.

    Check out this link to an interesting 40 page review of “Retirement Assets”. I think this is important because it represents 35% of all wealth. And that means it's a big target, and HBB want's it. They don't want just to control it, they want IT. I expect this to be the next big battlefield. Financial ogliarchs will craft up legislation that gives them more access to your retirement savings. Here are some ideas—they force a percent of your retirement account into safe bonds “for your own good” further blowing up the bond bubble….they sell off at the top on their own bonds and leave you hanging on to a pile of shit. Or T-bills “Support America” law…works the same as bonds, they use your money to feed a bubble, they sell off at the top, short it in fact, and leave you with a pile of shit. See how that works?

    http://www.ici.org/pdf/fm-v19n3.pdf

    Charts below are from the ICI report

    Here for charts, it's the third post down from top

    http://oahutrading.blogspot.com/

  3. I have an intermediate level strenth trading day cycle that came due on Friday. It has basically hit every intermediate turn going back to the March 2009 lows (except Jan 2010) and appeared at the 4day trading range box on May 3 (similar to the one from last week). Friday was also 87 (1987?) trading days from the April 26 high. It was also 66 trading days from the May 25 bottom. Monday is 67 trading days from that May bottom (67 tds being an active cycle). Sept 3 has many angles indicating it will be a low, including it being Cobra's/Peter Pans jobless claims pivot day. I think Sept 2 would be the big down day. It has interesting numerology (9-2-10). Crude Oil and Euro are also off their highs during after hours. Euro has the 10,20,50 averages converging right around this price area. Of course, Sept 3 could be a temporary important low as I see some more action in later Septermber. One also might look at 87 tds from May 6 as a key cycle date.

    • I don't know if a break of the trendline overnight counts though? Plus, it broke that trendline last week, but managed to close above it on Friday.

      That's a weekly chart, and we could easily go up first, and then break the trendline on Thursday and Friday economic news reports.

  4. Did anyone see any FP's over the weekend? I didn't, but I can't what everything. Remember, the first hour before the market opens is when they usually throw them out there.

  5. We shorts got trapped on Friday w/ the tag of 1039.

    Now they appear to want to take us back up to the 38%fib 1071-1075. So we may have to hold out a bloody week..
    gap filled

    • Well, I can't say that I fully understand the bond market. And after reading that article… I don't! LOL. But, I do see it (TLT) rolling over on the daily and weekly charts.

      There is a nice gap that needs to be filled on it at 102.29, and I suspect it will do so this week.

    • Interesting article. I also am not sure I understand it very well.

      However it does not seem to explain the simple fact that the money that is printed out of thin air by the FED and is earning interest from the taxpayers id not having the effect of devaluing assets and specifically dollars in the long term.

      • Agree – I think what their saying at pragcap is that if you own your own currency you are not revenue constrained thus you won't default. You may drive down the value of the currency but won't default per se. Also, they belief we have a long way to go before we hit any Zimbabwe scenario.

        We are headed to a Japan scenario with yields going down.

  6. Last day of the month is usually a down day.
    I was thinking about going long on CSCO, just now…but if tomorrow is favored to be a down day, what's the point?

    • Yeah, but it's also “Turn-around Tuesday” too… so this might be all the downside we get? Let's see how the close goes first. It's possible to move back to the 105.50 spy level and backtest the downward sloping trendline that we broke out of on Friday.

    • I'd be careful on the short side right now Z… there isn't any volume behind this move. I think it's going to be choppy this week, with an upside bias.

      Tomorrow could go down in the morning and reverse hard the rest of the day. It depends on how low we go today? There is a falling trendline around 1045-`1050 area that the market will likely bounce off of.

      It's the “backtest” line from Fridays' breakout. If it hits it today, then it could bounce back up hard from it tomorrow morning. Or, it could hit it tomorrow morning and bounce the rest of the day… maybe ending about flat, and leaving Wednesday to rally on.

      I just don't think we are ready to go back below 1040 yet. That might come this Friday, or next week after the holiday weekend… but I don't see it happening tomorrow.

  7. To me looks perfect for a ramp job into the holiday weekend, and then tank it next Tuesday (or even on Sunday Monday when US markets are closed, so the groggy and hung over retail will panic out.

  8. A drop below 50 tomorrow on consumer confidence will tank this market. Still short, 970 SPX first tgt.

  9. I am disappointed the SP didn't close in the 1030s today. I want to see a monthly reversal tomorrow but that will take 38 pts and we should have a decisive monthly reversal so we would need an even greater pt total. Merger activity probably held the market up today. With one hour to go, the Nasdaq 100 was only down 7 pts. I saw Apple was up. Can't believe GENZ had that much of a weighting unless there was some sympathy carryover into other tech names.

  10. There was a print of gold 10 day future today on yahoo finance. I'm not sure it means anything.
    Gold Sep 10
    (COMEX: GCU10.CMX)
    Last Trade: 1,237.10
    Trade Time: 4:24PM EDT
    Change: Up 1.50 (0.12%)
    Prev Settlement: N/A
    Open: 1,237.10
    Bid: 1,236.30
    Ask: 1,236.80
    Day's Range: 1,234.00 – 3,401.50

    • Gold Flash Spike To $3401, Bank Of China Governor Zhou Xiaochuan Is Missing Aug 30,2010

      Mini-panic in the Red Dragon. Nothing to worry about. Just keep buying your treasuries and drinking the kool-aid.

  11. Red, Great videos, but I just don't believe we get nuked anytime soon. Too much money being made selling US citizens cheap products, and besides big brother is having too much fun deploying cameras at each corner to watch our every move! lol
    Did you see the latest at Mahendras site. If nothing else, a pretty good list of Alt-Energy stocks to pick from. He is still holding to DOW 38K by 2014, and has not changed his stance. I think some other EW's have this as well in the Grand super cycle? Anyways, I am holding SOLF and still in the GREEN after 400 plus negative Dow points, go figure??? lol
    Public PDF at Mahendras site, FWIW
    http://www.mahendraprophecy.com/userfiles/files

  12. As I said on Friday, the bulls would be giddy and they took it in the shorts today. Loved todays action. Won't be buying till first of month………

  13. If interested, here is another article on money creation: http://pragcap.com/the-concept-of-vertical-and-

    The US government is never revenue constrained. We don’t need China to buy our bonds in order to spend. We also don’t need taxes to spend. The budget deficit is in direct inverse correlation to private sector savings. IE, they’ve debited our accounts. This by no means says that the government can just recklessly spend. But understanding the foundation of the monetary system is a good start for us all since it’s clear it’s misunderstood by most…

  14. Honestly once again, an 8 point ES jump in a matter of minutes. Complete and hardcore buy program manipulation going on. Wasn't even like PMI beat estimates. It still came in below.

  15. On my 10:45 am 5 minute candle I just seen a 104.78 FP show up. I just went downstairs to get some coffee and I'm not sure if the market really spiked that low or not? Can anyone else confirm or not if we moved down to 104.78 at 10:45 am?

    • Hi Red,

      it's even stranger than that, the rabbit hole goes deeper 🙂

      This WallStreet movie will be the 3rd movie with this title. BTW, this #3 was ready to be released in 2009 but for some reason was postponed till this September.
      The #2 we all know came out right before the 1987 crash.

      And the #1 WallStreet? — 1929…

      • LOL…

        I thought the one in 1987 was the first one. I forget sometimes how long the Illuminati have been playing this game. Of course they would have do one in 1929 too… duh!

        Goldman Sachs was around back then too… go figure! I'm sure they had their role to play back then too, just like they do today.

        And of course they delayed the new movie this time because?… drumroll please:

        The timing was off! We have to crash the market when it benefits the political agenda of the current party the most… which is right before the November elections for the house and senate seats.

        Duh… why didn't I think of that before? If I would have, I'd known that the market would rally from the March 2009 low into mid-summer of 2010.

        LOL… At least I know now.

        • LOL… I don't know how to trade that kind of insight.

          you are correct, movie frames are full of staff one can't even come close to register while watching them in motion. Ubiquitous nowadays product placements are the most innocent and obvious of them. The rest are mind boggling and are either a masterpiece of a genius director, like Lynch, or a macabre of sinister forces.

        • The original release date for Wall Street 2 was April 23, the closing high for the stock market. The excuse used to change the release date was that they wanted to feature it at Cannes Film Festival but strangely it wasn't entered into the competition. It had a premiere on May 14th at Cannes, a couple days from the May 12 post flash crash closing high. (although a slightly higher high was made on May 13). The next release date is September 24 which is why I expect a massive low in the market. I know the script was completed in the Spring of 2007 when Michael Douglas signed on but somehow it incoroporates elements of the 2008 financial crisis in the movie. I would like to know when it was filmed because it seems unusual that this movie would have been greenlighted during the depths of the finacial crisis and economic nadir.

  16. If I stare at the SPY chart ,out of the corner of my eye, I swear I see an island bottom forming over the last several days. ( bullish)
    for some reason, I think this island bottom won't work.

  17. There is another opx this Friday. I don't know what this one is, but the open interest is heavy on the short side. There could be more manipulation this Friday because of it.

    • We are going to reverse around the 104.80 FP on the spy San, but that doesn't mean we are going to breakout on the upside of course… only that the downside breakout isn't scheduled for today.

      • Leo the hour range in DJI and SPY will give a clear direction. Today the bottom of the range may get tested. But i am not expecting the support to break that easily.

  18. Watch out for Sept 14 also. Linkin Park has a new super produced album called 1000 Suns coming out on that date. I remember the fake print for Sept 15 for GS. The Cramer Code could also imply a drop in mid September

      • Have you heard the Linkin Park song? It's pretty intense. About a broken people living under a loaded gun. something about the ocean and 1000 suns. I need to find the written lyrics somewhere.

  19. Noted by a friend of mine:
    The Obama administration appears to be proceeding with a novel way of financing trillion-dollar budget deficits by forcing IRA and 401(k) holders to buy Treasury bonds by mandating the placement of government-structured annuities in their investment accounts.
    The requirement to invest private retirement assets has been cleverly buried …within plans to create “automatic IRAs” that would mandate employer groups enroll all employees in 401(k) or IRA plans.
    The U.S. Department of Labor released yesterday an agenda for an upcoming joint hearing with the Department of the Treasury scheduled for Sept. 14 and 15 on whether government life-time annuity options funded by U.S. Treasury debt should be required for private retirement accounts, including IRAs and 401(k) plans.

    http://www.dol.gov/ebsa/newsroom/2010/ebsa08261

    • Argentina forced its citizens to convert their personal savings into government bonds in the early 2000s. If the US mandates that, then its become a third world basket case.

      • I think I recall that. Forced them into buying govt securities.. and then defaulted on the pensions when they “reformed” the currency. Classic trick!

          • I know many people probably hate the stock newsletter teasers from Agora Financial, but their newsletters are very thoughtful, and even have contradictory views within the groups of newsletters. They also usually do good fact checking, and put forth thoughtful ideas that are more based on facts than the mainstream who's drinking the kool-aid!

            Disclaimer: I'm a satisfied Capital & Crisis paid subscriber.

          • From what I understand, this will be phased in. Phase 1 is making it much easier (optional) to buy Tbills or annuities in your 401k/403b/IRA. This will probably get passed after the next crash, so people will WANT to “protect” their savings. (funny… it's being brought up in sept, just about when cycles say there should be a crash). With annuities, you cannot “lose” money (except due to inflation).
            Phase 2, is when the govt starts to run out of buyers for tbills. Another crisis will hit that cannot be funded, and then 401k/403b/IRAs will be forced to buy tbills/annuities.
            Somewhere in there, I'm sure there will be a govt mandate to start a 401k/403b/IRA.
            If foreigners won't buy treasuries, the govt will milk its own citizens for what little we do have saved.

      • I'm sure the band members don't have a clue what symbolism they are promoting. They just think it's cool. There was a movie out about a band that discovered there record company was putting in subliminal messages in their songs and the lead singer of the band found out about it.

        It reminded me of the group called “Josie and the Pussycats”, but I don't think that was the real band it happened too… but it could have been?

        Anyway, many… if not all bands are used by TPTB to send out messages of sex, hate, violence, etc… Of course the bands never know about it.

        • Gecko,
          thank you very much for the great song you brought up!
          The music is fantastic but I'm not an expert in sounds to analyze it.
          The video on the other hand is chuck full of very relevant reference images. The same goes for the text. Red is correct, they might not know what fore-knowledge they are indeed reflecting but reflecting nonetheless. Check their fan page explanation of the song's meaning (http://www.linkinpark.com/forum/topics/what-is-…). Like any explanation it is bland and devoid of life. What they are actually showing and resonating in the video has much more powerful message. So powerful I wouldn't be surprised if they “precog-ged” the actual date.

          • Thanks for the links. I saw that one of the fans aptly described the official video as an apocalyptic death party. The next single to be released will be “The End of the World”. It looks like they put together a Pink Floyd style concept album. I really liked the Catalyst when I first heard it played but it seems like they are playing a dance remix style version on the local stations now which I don't really like(of course it might have been this version all along). But this does seem to be a departure for LP. Its more mature version with deeper meanings and musical structure. LP was alway more of a saccarine style band. A nice musical style on the surface but lacking anything substantial within. There was an indie station here in SoCal that refused to play Linkin Park because they didn't feel their work was substantial.
            And I don't believe they wrote the lyrics or even maybe the music. The lyrics are just too advanced with cryptic meanings and the music has developed texture as well. CD sales have completely fallen through the floor the last few years but this album definitely seems to have some substantial muscle advancing and promoting it.
            LP world-premieres the live version of the song on September 12 (a Sunday) at the Mtv Music Awards. So watch anything from September 12 to 14 and thereafter as a possible ritual date extending probably to 24th premiere of Money Never Sleeps.

          • The first two times I got into my car after writing this the same Linkin Park song was playing (an older one)……In the official video, the lead singer Mike,with his face obscured, reminds me of the hooded gnome serial killer from the 1974 movie Don't Look Now, another creepy movie about premonition and precognition, where Donald Sutherland foresees his own death…….Of course, the song “The Catalyst” could be the trigger or catalyst for a major meltdown or it could trigger some reaction from “programmed” ones when it world premieres on Sept 12 or it might mean nothing. Just some fun speculation. There is nothing about a catalyst in the song.

          • The “Catalyst” that will cause the crash to happen, could be the US defaulting on their international debt, as told by Benjamin Fulford. He has them announcing it before September the 31st, so it could be anytime now… how about the 12th? Sounds good too me.

          • I just saw the video with the sound on for the first time. So much imagery in that video. One would need to view it 100 times plus to catch all the subliminal images. I noticed the inverted (Star Trek) V embedded in on one of the band members bodies, the anarchy sign, and the Vs that show up in all the movies these days, like V for Vendetta or Watchmen. Also the camera shakes at the end in a shot of Mike in the car and the imploding buildings which is right out of Fight Club another movie notorious for its subliminal images and advocacy of anarchy. There is a scene with a word written backwards which I need to key on plus a multitude of other images including all the flashing lights/sunbursts??.

  20. Went shopping before the close. I am going to wear my rally cap tomorrow. We are going up folks……….Very bullish bias for first of month…………….

  21. Went long in AH. The Chinese PMI is going to be released overnight. I'm betting that it will be a good number, and our late day ramp turns into a gap up on the open that remains open for the rest of the week. I'm using DRYS (dry bulk shipper) as a play on Chinese growth.

    • We need a rally to work off the bearishness in the market now Dread, so I think we'll have one over the next few days. Going long seems scary, but I think you made the right call.

      • So far, so good. All of Asia is green. Australia is up by 1.8%. Might be a preview of what we've got coming tomorrow. Still, there's lots of PMI numbers coming from Europe overnight. Anything can happen.

    • Well, we have all gotten whipsawed enough to make bad calls… myself included. So don't be to hard on the guy… LOL.

      Although I don't know if it will make it that high or not, as I'm following the FP's, of which the highest one I have recently is 111.17 spy (about 1100 spx… not 1129 or 1135).

      • Wasn't meant at as a shot at him, more that someone else has moved to the same view. It's pretty lonely if you don't subscribe to immediate doom. I only know of Attila and Alphahorn as two others seeing significant IT upside.

        • Thinking outside the box right now, but what if we went down to the Dow 8300 print by the end of September, and then rallied back to the DIA 118.16 print by early next year? It's possible… and certainly likely that we will rally going into the November elections, and continue through the light holiday volume month of December too.

          For that matter, Mahendra might be right on his call for Dow 38,000… if hyper-inflation kicks in? Plus, if Goldman/Obama gets the “Cap and Trade” bill passed, they plan to create the largest bubble every with it.

          Granted that a Dow 38,000 would be equal to about Dow 3,800 today… in real value, but it still could happen.

          • I have spx 930 in November, and no track record. Trying something different that says 1039.7 was an important low, even obvious, after the fact. If its breached before 1135, i give up.

  22. I don't understand this after-hours activity. I keep reviewing the charts and they are all horrible looking especially when one looks at individual charts like Apple,GS,MMM, Msft etc. The Nasdaq looks like its in the midst of continuing its downtrend. Oil dropped $3 today, the euro was battered by the resistance of its moving averages just overhead. None of the indices did a bull flip when it was easy to do so and tomorrow it will be really easy so its do or die; big time plummet or bigtime rally.
    The US has its own major manufacturing report tomorrow morning so I would expect this rally to subside as it moves into the report unless another better than expected result has already been baked into the cake. There are also several other reports. I have never seen a bottom formed with a pattern like the last several days although I see the bulls probably see a mini inverted H and S while it could also be considered a triple bottom.
    I also see a lot of emboldened bulls on all of the blogs.
    ZeroHedge also has an explanation for the late day/ after hours activity; a prop job to prevent a monthly close of -5%.
    Australian dollar is up big on the Chinese PMI report and this is helping ramp up the commodity names. FXA had a reversal bar yesterday so this is about the only bullish looking excuse for a rally tomorrow but it can also be viewed as a continuation doji pattern..

    • Yes… it's rally time. Let's see how far this thing can go? I'd say 1080 should be reached, but I'm not sure if we go to the FP of 111.17 spy (about 1100 spx) or not? Maybe? But, I think they are limited on the time factor as the Non-Farm Payroll is this Friday and I really doubt that it's going to rally the market that much higher. There is just too much overhead resistance I believe, but we'll see…

  23. Hi. This is the qmail-send program at rediffmail.com.
    I’m afraid I wasn’t able to deliver your message to the following addresses.
    This is a permanent error; I’ve given up. Sorry it didn’t work out.

    :
    – Sorry, no mailbox here by that name. (#5.1.1)Z

    — Enclosed is a copy of the message.

  24. Red,

    this rk318 is SPAMMING for traffic to the rediffmail dot com site. He might also be in harvesting the IP addresses of DISQUS users who clicked on the link in the message.
    The verbiage of his message is just a cover.
    Ignore him, block him.

  25. The pre-market manipulators have pushed us above the descending trendline from Aug 9th. I can only hope we get back to ~109 – looking for another re-entry point

  26. SP and Dow bolted up to the area of their 20 day and 50 day averages which are starting to converge. Similar story with the Nasdaq. It doesn’t look like any of these indices exceeded last week’s highs. $rut is above the 20 but still below the 50. The Euro shot up to its 20 day and now has pulled back substantially. $vix doesn’t look to have violated multi-day support. Nice shot of POMO juice the big boys administered to the market at 7am PST with the release of factory data. Lets see if this market can holdup now.

  27. You might be right on that Akka… thank’s for the information. I won’t block him for now, as maybe it’s an honest mistake. We’ll see? If he can fix his problem and explain it, then I’ll let it slid… if not, then…

  28. This is likely to be a chop fest all week. The smart move for the swing trader would be to wait until our turn date of the 12th (=/- a day or two) before making any big position trades.

  29. LOL… you didn’t really expect large volume on an UP day did you? You know that the big boys are using the taxpayers dollars to run it up so they can sell (with heavy volume) at the top.

      • FP == Fake Print (aka Casper).

        Commonly thought to be the direction and level to which TPTB will be taking the markets shortly. It's a target for the markets.

        • I am trying to figure out this fake print! How do they(TPTB) decide on a level before hand? Isn't that fraud? Can I see this fake print on a Bloomberg terminal?

          • LOL… “The Powers That Be” have been controlling and manipulating this stock market for over 100 years now. Everything is planned out months, and years in advance.

            The reason for this target is probably based on what level the price needs to close at this Friday for the TPTB (errr… market makers in this case) to pay out the “least” amount of money to both the “Call” holders and the “Puts” holders for this option expiration.

            Looking at the open interest on this opx, I'd say that some where between 105-106 is the ideal place to close out the market making the most calls and puts expire worthless… meaning that TPTB keep all the premiums from selling them to us sheep.

          • Sorry to heard that… hang in there, I think we will close this Friday around that 105.39 FP (aka “Ghost Print” or “Casper”). That would be based on the idea that the Non-Farm Payroll report is ugly… which of course they control those numbers too.

          • You bet it would be fraud and market manipulation. But there's the “plausible deniability”… each megatradingbank has 100s of employees. Darn it… they keep fat fingering the entries.

            2 hours in the past?

            Again… plausible deniability!

  30. If I had to guess, I'd think they would make a stop swept with a quick move above the 1080 double top before the day closes. I'm sure there are a ton people with stops just slightly above that level.

    • Hi. This is the qmail-send program at rediffmail.com.
      I'm afraid I wasn't able to deliver your message to the following addresses.
      This is a permanent error; I've given up. Sorry it didn't work out.

      <rk318@rediffmail.com>:
      – Sorry, no mailbox here by that name. (#5.1.1)Z

      — Enclosed is a copy of the message.

      • Ok, I'm a little lost here? Are you trying to tell me that you sent me an email and this error message showed up? I never received anything, but if you had an error message sending to me it would have shown red at reddragonleo.com instead of your email address?

        So I'm confused? Please explain what this means…

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