Monday, May 10, 2010

$CPC - A Buy?

I'm not calling anything here. Nothing. I'm in cash digesting this move. This is a more me thinking out loud post. Those can be dangerous, but this time the loud half of my brain is being quiet.

Well, this chart has not lied to us recently, but is this the time it busts on thru and gets silly again? The blue 200ma is still shy of signaling a buy. The 100ma usually gives a divergence but does not have to. I also forgot to mention on the weekly short chart in the last post below the $NYMO has reached a buy point as well. Under normal circumstances, given this CPC chart (the CPCE as well) and the NYMO and the SPXA50 on the weekly plus the dailys reversing I'd be looking to get bullish. Also, look at the SPX in the above box and see exactly what stopped the fall last July. Yup, that 200ma is looming just below. I'm crazy, but I'm still undecided in market direction even with these signals. I'm still calling this as a near term corrective playing out. If the fall was the corrective and it is over then the only question left in fantasy land is how high can it go and things are back to normal BS rally mode. 

Don't listen to the BS money managers trying their hardest to keep you invested on CNBS. Remember they must have you in the market for them to make a dime. There is no recovery, but there is massive accounting fraud. There are going to be massive city/state/municipality defaults and bankruptcies here in the US sooner than later that will dwarf the problems in the EU (and we're bailing them out?). I'm really surprised Americans are not in the streets bitching like all hell right now. We need this money now more than ever and should be pretty pissed at what the Fed is doing with your permission. Yup, your permission via this administration. Sadly most are so stupid or disengaged they have no clue that they are paying for most of this EU bailout bullshit. the government and MSM have done a fantastic job at dumbing down the masses.

It is only a matter of time before the big crash. You can't keep throwing trillions more at trillions in debt and expect anything good to come out of it (unless you keep changing the rules to mark the world financial system to fantasy). We all have seen the masses waiting at the gate to get out. That last crash was not a fluke. It was not a fat fingered trade or some sort of electronic fluke. It will happen again. We came within days of global meltdown, and all they are doing is throwing good money after bad. France was toast. There is no solution to these problems other than global default.

I don't like what these charts say, but you can not ignore them. Maybe this is the time that they go wacky on us and nothing becomes reliable, but maybe not. A month ago I'd be screaming, "Here we go again. Up, up and away!" I'm not this time, but I am cautioning the bears of the possibility. Manipulation and fraud rule the day. Till they are taken out of power by some sort of "external event" this charade can apparently go on forever. Sorry I can not offer more assistance at this time on market direction.I have not digested any of the short term charts at this time. Those updates coming soon.