Morning Charts 06/20/12 $SPX $ES

Do you ever feel like you live in one of those lesser carnivals that travels the country and sets up in a shady part of town? You know, the low end circus where everything is ridiculously expensive, the food sucks, the rides are dirty and dilapidated, the workers are all zombies and every game you play is designed to rip you off. The reason I ask is that is how I feel about this country and how we are being governed. Somewhere between a bunch of fraud driven side show ripoffs and a used car dealer is where our government sits. This country is fast becoming a side show and is no longer the sparkling and glorious main event.

The whole global financial system has become nothing but a game of chance. Hell, they even rigged that in their own favor. Know what's funny? They are going to even lose at their own game. Skimming off the top and not dipping into your own stash is something that even the less savvy drug dealers know not to do, but not the greedy ass hopium peddlers. They got so high on their own shit they lost all control.

Afternoon Delight 09/20/110, SPX, NFLX

OK, the news since 6:00 last night has been nothing but dreadful. Most all of it was covered in the comments section today. The DOW had absolutely no reason being up over 100 points other than on hopes of easing (and a little HFT spice).

Not gonna rehash the market's whacky day. Bottom line is price reversed at the April 2010 top forming a pretty double top with nice divergence - a classic and powerful turn signal. Now, the fed tomorrow can blow all of this up, but at this time it appears that TA has predicted the "sell the news" event STB and commenters were proposing earlier in the comments.

Hope you liked the updated 1m /es futures charts today. They really allow us to track support and resistance levels nicely.

SPX 30m - Pretty double top with divergences. That 13/34 ain't working so hot in this consolidation phase. Not sure anything is other than TA at this point which has missed a few news driven turns as well. So, follow the news LOL.

Sunday Evening Post

OK, here is the deal with the comments being closed on Friday's post - in order to avoid late spam (after the fact, many days after a post is up, some less desirable individuals will sneak in and post unscrupulous links that I/we do not desire), I have the comments set to "close" after 48 hours. I set that a bit tight and have moved that to three days to accommodate the weekend post.

I should be around a bit tonight as I update some charts ( I have done a bunch already) and check the futures.

SPX and the FOMC Meeting chart -

STB Morning Post 09/16/11, SPX

It's Friday! Lawdy it has been one heck of a week for the bulltards. I have no idea if this opex, bailout, manipulated BS run is over or not. I do know that the domestic economy is worsening and that the EU (and MENA) are in shambles. All this will end in some sort of horrific scenario. Till then we operate on hopium and playing the game of extend and pretend.

STB has been walking you thru the progression of the short term charts diverging and looking to turn. What STB has been pointing to is that the 30, 60 and daily charts were not near ready to go yet. The markets confirmed this. STB has tried to walk you thru the progression of timing, and how to appropriately work the turns (my way, more conservatively trying to find higher probability using divergences).

Now we have the 30m chart most likely confirming some sort of corrective here. This works well with the market ending opex here and the EU liquidity high about to wear off a bit. That said, this is a news driven market and it does not take much to get a violent immediate reaction in either direction. Speaking of news events, next week is the FOMC meeting. The hope of a QE announcement (a bit late for the now defunct Goldman's Alpha team) may be enough to maintain elevation.

FOMC Meeting Chart - See the previous reactions to FPMC meetings below.