Pay attention to the right hand. Never mind what this left hand is doing. Ah, the old misdirection trick. I've been telling you for years now the markets were just an illusion to mask reality. Most thought I was a ranting lunatic, but loved the analysis and charts so much they hung around. Well, it appears we have yet another case of conspiracy fact on our hands and more proof that the growth of the fascist state is accelerating.
For years STB was all over follow the Fed. That was all you could do. Ease on/off translated directly to risk on/off. That was until QEfinity and the game of kick the can became a game of keep away. This evolved into the two P's, patience and prepare. Patience is required to deal with the Fed pumping in $85 billion a month in "stimulus" to fund the HFT bots buy only algos that keep the market's fire raging. Prepare is for the coming capitulation and the aftermath of the bursting of the debt bubble.
We've discussed at length that "they" can not let the market even correct at this point (currently the longest streak on more than six years without at least a 5% pullback). The markets solely exist at this point due to trillions in intervention, raw manipulation and globally coordinated central banks rehypothecating already fractalized collateralless fiat currencies. A tsunami of liquidity? I don't think so. This house of cards looks impressive, but looks can be deceiving.
What are they hiding? Plain and simple from where I sit. They are hiding the biggest economic collapse in the history of the globe. A total system failure of the global financial system. When you're four years into a "recovery" and the debt sold by two of the largest TBTF's in the country would be junk without government backing, there are serious issues.
IMHO, at this point they are in total damage control and planning for the great collapse. They are not trying to fix one damn thing. The only thing they are fixing is how the elite can dominate the globe after everything goes bust. They have installed the best president for the job. A socialist that is raping our constitutional rights worse than any before him. A champion of transparency that controls the MSM with an iron fist and uses the justice department against its own citizens. The government today exists to serve the corporate special interests, not the sheeple.
You can sweat and fret this market all you like. I know where it is going. I've known where it was going since 2009 when I penned, "Not until an external "event" rips control from "them" will this market fall." Now, I never imagined it would come half this far, but here it is. We're coming closer to that event every day. I do believe that Cyprus was the first serious catalyst. You can see the desperation in the administration. The lies and corruption are being exposed now from Benghazi to the IRS issue to the AP issue to the lies about whose using chemical weapons in Syria. Their backs are against the wall, and they are running out of time.
The gun grab and expansion of the police state are happening for a damn good reason. They know when this thing goes bust, society will as well. They are preparing for the worst, because they know the worst is coming. So you be a good little sheeple and keep on watching the MSM believing everything they tell you. You keep on playing the market and reaping the dividends of their greed and manipulation. It won't be long till we have a(nother) major false flag event. They must keep you distracted, and they must create even more fear in the hearts of the sheeple. Sadly, it's not the al qaeda (CIA) terrorists you need to be concerned about. It is the terrorists running this country that should be your greatest concern.
On to the markets -
We all see it. I could go on and on (and we do in the comments below) how many top signs there are right now. RC hit in a plethora of them in the comments last night you should go see.
Daily SPX - Just count the negative divergences and see the recent strength breaking the downtrend in the indicators. This is yet another overthrow situation where strength is defying all odds. Sadly there is nothing "natural" that can make this market even correct anymore. It is what it is till it isn't. A Hilsenrath rumor driven Fed speak psychotic market is what we're dealing with. They are damned determined that nothing is going to stop this train, and I bet the first person that does will have a bullet in the back of his head.
Minis 30m - The same green and white support diags we've been following for some time dominate the low end, so 1625 is the big support number today. Price took out near term resistance (pink), then backtested that and the green support diagonal and here we are at fresh new highs this morning. Budget - schmudget this thing has a mind of its own. 32 resistance is gone and 38 and 41 will be the next stopping points.
As usual more to come below. I feel another big rant coming on. We're gonna need to step up and fight back soon if things keep deteriorating. We can't stand much longer for this lawless and out of control government. How do you fight if the justice system is totally corrupt and the DHS has basically unlimited powers? Not sure. If you were not a believer and doubted that the government was working against you, I implore you to start following Benghazi, the IRS issue, the AP issue and the lies about whose using chemical weapons in Syria.
Have a good day.
GL and GB!