Monday, November 21, 2011


3:16 p.m. I love to yammer on about how the banksters have us all set up. You don't think they've shorted this market? You don't think they even short themselves? Hell yeah they do! They're freaking banksters, remember? All they want is to make profits, nothing else matters. So yeah, you bet your ass they're banking through this downswing, kneecapping every hedge fund and retail trader that went long a week or two ago. They know shit is hitting the fan. So do you and so do I. But do we dive in headfirst?

I liked FAZ at 45. Liked it more at 40. It hit 35 and I was surprised. From there, I really thought the banksters would seize control and send the market into a year-end eruption to new highs. But they actually can't control things in Europe as quickly or smoothly as they can control the Fed and the White House.

So we have FAZ rising to 50 (closing above 49) while FAS fizzles. Where do they go from here? I totally believe in the psychology of round numbers. People are like that. They wince and pucker at certain round numbers and 50 is one of them. I'll watch from the sideline with my binoculars now and then, but it's too busy for me anyway to pay too much attention to the market. Just be cautious out there. Traps are everywhere.

FAZ daily
Today's round of lame news had FAZ roaring higher

FAZ daily
Pushing the higher trendline or gravity kicking in?
Hanging man candle means little with headline risk dominating

FAS daily
Returning to those basement levels again

FAS daily
Generally it's a bad idea to buy anything that has a reverse split.
BAC and FAS come to mind

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