Some here may think my elevator does not go all the way to the top floor, or that I'm a few fries short of a happy meal - to those folks all I can say is that confirmation of my thoughts from those in the industry or in the know is my best defense.
I've been discussing the coming collapse, the fact that they cant raise rates and that there is stealth QE. Fortunately another industry insider has offered opinion that aligns with STB's preaching over the years. The former Golmanite Nomi Prins writes -
"what lingers in the air of “post-taper” time is an absence of absence. For QE is not over. Instead, in the United States, the process has simply morphed from being predominantly executed by the Federal Reserve (Fed) to being executed by its major private bank members."and
"Last quarter, US Treasuries were the fastest growing form of security bought by banks, increasing by 26.3% or $72 billion over the prior quarter. As the Fed tapered, banks stepped in to do their part in the coordinated Fed-private bank QE game. In the past year, banks have added $185.8 billion of US Treasuries to their books, more than doubling their share of government debt."and
"Aside from the shift to a globalization of QE via the European Central Bank (ECB) and Bank of Japan (BOJ) as I wrote about earlier, what lingers in the air of “post-taper” time is an absence of absence. For QE is not over. Instead, in the United States, the process has simply morphed from being predominantly executed by the Federal Reserve (Fed) to being executed by its major private bank members."and
"When this sham finally buckles and the next shoe falls and rates do eventually rise, the stock market will tank, liquidity will die, and the broader economy will plunge into a worse Depression than before. We are not there yet because of these coordinated moves and the political force behind them. But we are on a precarious path to that inevitability. "
So, now you know I'm not the only Chicken Little or blowing smoke. STB loves confirmation of his long standing thoughts from the experts. I've technically been a bear or knowing of our path to destruction since the early 1990's. It's not hard to see when debt is piling up to far beyond what would appear to be sustainable or responsible levels.
The sham is real and the system will fail. It may be time for me to do another prepper post. This farce is winding down. They are almost out of rope. The edge of the cliff is crumbling. Negative interest rates and then capital controls are coming. Remember the gates are closed. Whatever is in their system is not yours.
Remember this and act accordingly. Reduce your personal debts, remove your assets from the system, pm's are a wise choice for diversification, prepare for the worst to come, cause it more than likely will be worse than anything you can imagine. Time is running out.
On to the lie -
I swung a short just before the close yesterday. I don't take swinging shorts lightly as you know. I think I've had less than 5 swing trades in the last three years. Stops are semi-tight, amount is small and the trade will be monitored closely. Most know I'm looking for a smaller retracement first, a pop and then the big bang. Call this trade a trial run where I'm getting my swing sea legs back under me.
Daily SPX - I may be early, but I believe it's time to start taking some pot shots at this manipulated POS. Manipulated being the key word. The setup here on the daily is not all that and a bag of chips - it gets to that point I believe after the next pop when divergences truly set.
More to come below.
Have a good day.
GL and GB!