No changes!

Wish we had something new to say but Wednesday’s action simply more of the same. A good down open did not last…and the NASDAQ leads while commodities stink.

We are in hopes we get some pulling back because it is only in the sell downs can we decipher where the real strength is. This second, the market has no interest in that accommodation. We are back to DEFICITS DO NOT MATTER…DEBT DOES NOT MATTER…RECESSIONS DO NOT MATTER. It is all about the QE and with Japan QEing to the tune equivalent to $3 trillion here and with the ECB boarding that train in a big way and with the direct correlation between up markets and QE,..need we say more.

Continue to underweight commodities. Continue to underweight small caps versus large…though small caps are coming on a bit here. We just believe if things do turn down, it will be the small caps that lead down again.


We are big believers in picking your spots when playing markets.

As you know, we believe anything is possible, especially with the GRM. (Government run markets!) But there is a time to attack and a time to be patient. Maybe the markets just keep going higher. After the  Oct 98 drop, governments interfered and markets moved in a V-shape for months…not weeks. But after a month of straight up, it becomes higher risk as you are betting on a further move up without a rest. This is out of the norm.

We are not saying we pull back. We are not saying we don’t. We are just saying it would be as normal as another Knicks loss to have some rest/pull back at any moment. It is in the resting and pullbacks where better buy points can be had.

Patience is not a bad word right here as many things are sticking up out of V-shaped moves.

Isn’t it time to put someone in jail?

How much more shit did these people do?


And the beat goes on!

We are back into the persistent market off of Japan and the ECB as markets continue to love money printing.  Don’t worry about recessions. Don’t worry about debt. It is the money printing stupid!

Not much has changed. The commodity move lasted for another hour before the Yen and Euro tanked…which in turn, turned the commodities back down. We shall see what happens on the retest.

After that, we will be brief as we don’t want to talk too much this second. Markets remain stretched and extended to the upside with very overbought conditions. Small caps continue to underperform large caps.



The worst “investment” possible but I still play.

The ads for the lottery are simply a scam, a sham, a marketing tool and it affects the poor as these lotteries prey on the poor.


More on the markets!

I think it was a few weeks after QE3 that we started to title our reports “NEVER GOING DOWN AGAIN.” We did this because the monstrous printing of money put a bid…another bid and another bid into the market. It was persistent with hardly any selling.

It almost feels the same. After a topping out process, a top and a mini meltdown, markets have again reacted to a crapload more of QE across the globe. We are amazed how easily fear has turned into greed again…and WITH NO IN-BETWEEN. Usually after a drop of such kind, the market has to earn and work its way back up. In this day of QE, hot money and whatever else, there isn’t any in-between. We have just had the mother of V-shaped moves up with very little selling in sight. Of course, that is unless you own SLXP this morning.

Large caps remains the strongest…mid-caps are just that, in the middle…with small caps continuing to lag like they have for the better part of a year.

Many are saying this cannot continue but those people had better look how 2013′s move off of QE lasted 6 months…the 2012 move lasting 4-5 months…and the 2010-2011 move lasting about 8 months…again…all off of massive money printing announcements. Remember, in the past, just having 0% rates was unheard of. That was considered to be ridiculously easy monetary policy. Now it is the norm.

A few things to start paying attention to:

The dollar has soared as Japan and Europe try to destroy their currencies on purpose. Yes…they think this will work. This has crushed commodities. With one massively overbought and one massively oversold, we suspect last week’s late action has put in a short-term change in trend. This does not change the overall trend…but more of a relief rally.

HOSPITALS  have topped. Bounces are to be sold into.

Watch HOUSING as a couple of names are starting to emerge.

WMT and TGT look to be coming out of big bases. That probably augurs well for retail if it continues.

Along with small caps, Europe continues to lag badly. We are the place to be this second.

In case you are Sheldon Cooper, “never going down again” is sarcasm. Overall, markets remain stretched and overbought and are waaaaay due to pull back…but again, doesn’t mean they have to.