Several months ago I forcasted a move much lower in the broader markets only to literally pick the bottom in this near term downtrend. Fuck...that hurt but the move we will see lower is going to hurt a shitload more
S&P 626 folks...we may try to rally to 1000 between now and then, but that is where my chart of truth has been calling this market. What has changed is that lending spreads have come down, and you can get a borrow from the bank. However, everyone's business is so fucking bad right now there is no way that your balance sheet can afford more debt with less cash flow.
Where does that leave us? Right where I told you we would be 5 months ago. At the tail end of the Institutional unwinds, just ahead of the consumer unwind. And as unemployment continues to rise, the consumer unwind will be bigger and take longer than we had previously expected.
Then at some point and I do not know what the catalyst is or will be, but civil unrest is on the horizon. The sheer number of HBS grads who are getting, have gotten or are talking about getting handguns to protect themselves from the impending civil/class war is becoming more than frightening. It will be self fulfilling.
Guns, Gold (delivered) and night vision goggles. That is what I am going to tell Santa I want for Christmas this year.
S&P 626 folks...we may try to rally to 1000 between now and then, but that is where my chart of truth has been calling this market. What has changed is that lending spreads have come down, and you can get a borrow from the bank. However, everyone's business is so fucking bad right now there is no way that your balance sheet can afford more debt with less cash flow.
Where does that leave us? Right where I told you we would be 5 months ago. At the tail end of the Institutional unwinds, just ahead of the consumer unwind. And as unemployment continues to rise, the consumer unwind will be bigger and take longer than we had previously expected.
Then at some point and I do not know what the catalyst is or will be, but civil unrest is on the horizon. The sheer number of HBS grads who are getting, have gotten or are talking about getting handguns to protect themselves from the impending civil/class war is becoming more than frightening. It will be self fulfilling.
Guns, Gold (delivered) and night vision goggles. That is what I am going to tell Santa I want for Christmas this year.
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