Thursday, March 25, 2010

Morning Post

Nothing like coming in to the office and having the e-minis at higher highs.I'm not sure if some of the focus needs to shift to the action in bonds or currencies, but they need to be watched more closely. How they allow Liesman to continue spouting his crap every morning is beyond me.

Economic calendar - Busy day. Jobs at 8:30, Bernanke at 10, Natgas at 10:30, auctions and then Timmaayyy at 1:30

Pivot Points - Know 'em.

Comparing the indexes - Looks like a well coordinated charge to take the hill.

SPX Daily - The push in the minis is somewhat surprising (is it really?). As I indicated in the E-mini post below "See if it gets pinched off running the upper pink TL and green support line here then reverses". Well we're nearing that point of recognition climbing the lower green support line and nearing the upper pink resistance line (LOL - resistance lines, those are so 1970's).

The daily chart below says we should have started falling three days ago. No, I did not call it, just noted where my signals would have normally triggered a sell or top call. The divergence in the RSI5 has further confirmed (possibly - trying to call anything in this market to go down can be a severe CLM these days) those signals. 
SPX weekly - Now, this chart may not nail it to the day, but it should nail it. For the big turn you all know I am simply waiting on RSI14 to cross that red support line. Follow the red lines that mark the tops. So far on this climb every turn has been marked by the SPXA50 being over 400 and a nice divergence in the NYMO. This is not necessary, but it has trended that way. With the way RSI5, CCI and OBV are acting (busting solid divergence lines), that says to me this is the final blow off top.

SPX 60m (for good measure) - Wedges ending with overthrows. Now all those red circles are gonna get nixed this am with the minis where they are as the gap up ramp job pump and dump continues.
Now you may ask, Shanky, how the hell are you not just jumping up and down screaming top and sell? Simple, this is a manipulated bullshit market. I do think we sell off today, but two problems exist. 1) The banks need more capital, so they may leak it down for the last grab. The last push for survival and the last plunge in Americas ass to complete the rape job of the middle class. They have to keep sentiment positive thru that push/thrust. 2) They need some nice QE prints on those statements to keep the normal investors in the dark and for one last giant fee grab.

They may not be able to control the markets anymore. The issues with the PIIGS may be getting out of hand. We are so close to a DEFCON 5000 meltdown. Be patient. Let it come to you. Laugh in their face, cause you know their game. They have slipped up. Their money grab got out of control cause they could not control the surging greed. Now they will pay. Game over. Sadly they destroyed a great nation in the process.

The bond markets and FX are showing serious signs of cracking. The stress levels are super high. Keep an eye on TBT. Might be about to break out. Had a "slight" volume buying spike yesterday. I think we'll start seeing some huge dumps here very soon. I am very tempted to call a top if not the top (yes, we're getting near that point in time) at the open based on the position of the minis, but we need to let it play out. Further upside really is unfathomable at these levels, but then again I said that back in April of last year.