Afternoon Delight 12/15/11 - Indefinite Internment

The markets are a huge issue right now, but there is a far more important development we need to focus on. As for the markets, the EU summit and the FOMC meeting both came and went without any form of resolution to the crisis in the EU nor with more easing from the Fed. That leaves a gaping hole in the markets defenses for the bears to exploit. STB has been looking for a move to 1040 to come in order for the central planners to have the support (fear/desperation) to be able to deliver more stimulus.

I was very pleased to see Citi Near Term Stock Forecast: 9300 In The DJIA; 985 In The S&P; Sees Chart Analogs To Pre-World War Periods | ZeroHedge confirming a lot of what I have been calling for over the past 6 months. More recently I have been allowing the central planners to halt the current slide because of opex Friday and Christmas on the way, but after the 24th "all bets are off". My 1218 backtest call halted the upward movement this morning nicely. Was that it for the upside here? More than likely I think so, but we still have to get thru next week and 1200 round level support below.

After hours the RIMM disappointment and this announcement - Fitch Downgrades 8 Global Banks Including BNP, SocGen, BofA, Deutsche, And Morgan Stanley have not budged the futures. I guess big tech and banks no longer matter to the markets.