holy shit!
Bernanke Put in all it's glory!
WAIT FOR ME! I'm coming!
chart-o-the-day - read 'em and weep.
Raised and lowered the upper and lower diagonals on the wedge. I hate moving things, but in this case it had to be done. Here we are with an E touch of the upper wedge line at prior top resistance in an overboguht market. As stupid as this sounds, you have to respect it. This chart is simply gross and is a testament to QE II. 12+ gaps.
1210 is a good target and anything over 1219 invalidates all EWT stuff from what I understand.
Options the way I see 'em -
1) POMO rules and you can't fight the Fed.
2) We completed a 4 and have roughly a 1315 target for 5 if 5=1 and 1 was 120 points
3) We pullback to 1130 and then ramp the 120 to 1250
4) We just get some sort of nasty churn into and thru Xmas where the rectangle movement stays in force and we get a pop to 1214 and that is it
4) Somehow this was a C and we crash from here.
I am not sold on any particular order other than #1 being at the top. The Fed will fail. The bears have been and will remain in play. Assets are possibly going to flee the USA with this bullshit move. Even CNBS is now openly allowing discussions on what a joke this move is. If you were not disturbed before the QEII announcement you should really be there now. Basically the admittance that we must monetize to stay alive. My premise all along is that the market is all they have left and they will fight to do whatever it takes to keep asset values elevated has been spot on. Sadly this play will be what eventually leads to a total collapse of the system.
I'll try to do a better job today calling things. Yesterday was really impossible to call.
GL!
