THE NOTION THAT SOMEHOW THE "THEATRICAL EVENTS" OF LAST WEEK ARE THE MAKINGS OF A NEW BULL MARKET IS PURE BULLSHIT...
I MEAN IT WAS ALL FAKED... AND MOST OF IT WAS CONTRARY TO MACROECONOMIC THEORY...
WHY WOULD GOLD FALL AND THE WEAK DOLLAR RISE ON A MASSIVE RATE CUT...
YOU'D HAVE TO ASSUME THAT BERNANKE REALLY IS THE "PUPPET MASTER" AND THAT WALL STREET IS A THEATER OF THE ABSURD WHERE ANYTHING CAN HAPPEN...
AS LONG AS THE FED SAYS IT'S OK...
MY HUNCH IS THAT ONCE THE TRADERS SOBER UP...FROM WHAT WAS A REALLY A DOG AND PONY SHOW ON WALL STREET LAST WEEK...
THE GRIM REALITY OF THE LAST FEW WEEKS COULD KICK IN AGAIN...
AFTER ALL REALITY HAS A NASTY HABIT OF DOING JUST THAT...
THE ODD ACTION IN GOLD WILL BE WORTH WATCHING...
NOTHING CHANGED FOR GOLD AT THE MACRO LEVEL...IF ANYTHING GOLD BECAME MORE DISIREABLE AS A HEDGE AGAINST INSANITY IN THE MARKETPLACE...
IF ANYTHING THE "COUNTERS" HAVE BEEN SET BACK TO ZERO...AND GOLD CAN START RISING AND THE DOW CAN START FALLING AGAIN...
THEY LIKE TO AND HAVE TO..."RESET THE COUNTERS" OCCASIONALLY ON THE STREET...JUST TO KEEP THE GAME GOING...
WE DON'T TALK ABOUT THAT "CYCLICAL" ASPECT OF MARKETS... WE AMERICANS ARE VERY LINEAR THINKERS... PROGRESS OR DECLINE IS "ALWAYS" A STRAIGHT LINE...THAT GOES ON FOREVER...
OTHERWISE TREES WOULD GROW TO THE SKY...AND THEY DON'T... THINGS "FALL BACK" TO EARTH NOW AND THEN.
AND GOLD AND OIL WERE BLASTING OFF IN AN OMINOUS WAY... SO THE CORRECTION SHOULD BE A WELCOME OPPORTUNITY FOR TRADERS SEEKING AN ENTRY POINT NEXT WEEK...
DON'T DRINK THE FED KOOL-AID YET... LAST WEEK WILL LIKELY NOT SOLVE ANYTHING...AND IT COULD HAVE MADE THINGS MUCH WORSE...!
