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Hi-Fi Trading The Business Cycle
Markets are now getting ridiculous. It appears that the "boom and bust" and "inflation or deflation" cycles are now being traded on a daily basis by the Hi-Fi traders. What used to occur over years or decades now oscillates in a matter of hours as thousands of robots are panic buying or chain-selling all instruments based on v-shaped recovery hopes or fears of inflation or deflation.
Witness today the horrid CPM numbers, which immediately triggered chain selling in stocks in virtually every sector and led another flight to safety into U.S. T-Bones. However, within hours, the oil inventory numbers came out, crude and gasoline futures bolted upward, and suddenly all the Program Robots which were positioned for a "deflationary bust" suddenly reversed course and positioned for "hyperinflation", sending stocks on a perfect 45 degree climb off the lows.
Not only is Wall Street trading this cycle, but the daytraders are in on the act as well. Speculation fever has gripped the public. Even the "survivalists" who publish blogs on how to grow your own food, load your own ammo, and live on a farm in the middle of nowhere are infected. Funny how at least once a week, these guys living like Mennonites suddenly call their favorite "stock market technician" for clues on when the next big crash is going to start, and they immediately drop their garden hoes and rush to their computers, get out their slide rules, and start punching out trades on their 8-monitor computers hooked up to satellite wi-fi.
Even bingo-playing Grandmas are signing up for the various "red light, green light" systems, tired of getting less than 1/2 percent on their money market funds.
Now that we are heading into a "new quarter", pointing to the career making or career ending year end statement print, the Wall St. Gamblers may be rotating into new groups as part of the ongoing attempt to "beat the market".
Or maybe they will simply gun the same stocks that have been "working" this past quarter.
Who knows?
Fund managers today are no different than Lamar Odom, who is the talk of the town here in Los Angeles after his shotgun marriage to Khloe Kardashian. Like Odom, today's fund managers will marry the "Dish of the Day" at the drop of a hat, keep her indefinitely if things "work", but could dump her in a matter of days if she "fails".
Just for fun, here are some charts of a few of the "must own" stocks for today's quarter end print.
Amazing how these have survived two of the biggest stock busts of all time, and are now trading at or near world record highs....
But the biggest winner in the casino the last 5 years has to be William Shatner and his Priceline.
All I can say is that guy must be knee deep in booze and hookers these days.
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what about 'em yellow signals for slow traders? we slow traders demand yellow signals!!!
but the ten year of PCLN resembles a Romulan mining ship trapped in a black hole
The truth is very funny RoboCop...
Let us not forget EXPE, up 4+ times...
http://stockcharts.com/charts/gallery.html?expe
A lot of stocks near all time highs again, despite the worst business climate in 70 years. Strange, that.
Have the Kardashians ever done anything, or are they just famous for being famous?
Their father was on the OJ defense dream team, I think.
Kim starred in a rap video.
Er, I mean Kim starred in a video with a rapper. Made $5 mil off the deal.
Awww, no hot chicks?
not down with Kardashian and Bullock?
seriously, RT should be a comedy writer, this is good stuff.
Robot...Love your stuff. I have no idea who the heck is thinking AAPL, etc should be at these levels....can we just ban Grandma from the Casino?
just wait til everyone figures out how to run Snow Leopard on $200 Acer laptops.
lol...not Laptops.....NetBooks..
Robot, you are the best - a part of my daily ritual.
I'm still feeling pretty heady about my all in AIG @ 55.90.
Great job Robo...as always, your market (and social) commentary is great. Thanks!
Great stuff!
great post... good to know that the bear cave is fully stocked for what will be a long cold winter.
WoW, priceline...who woulda thunk...if only that would have come to mind... what do people really really need... a cheap vacation... makes sense...
Pulling up a 4-year chart of PCLN vs XOM... so glad that our priorites are solid.
Realtor wife trying hard to make a short-sale deal work to seller client: So, what's up with you?
Client who hasn't paid a nickel on adjusted ARM in months: Oh, we're taking a two week cruise and will be out of touch. We deserve it.
Yeah, Priceline.
While Shatner's wife was at he bottom of the pool he called 911- only to be commanded to jump in the pool to drag the poor wife out.
Quite the man.
DOW / SP500:
Daily trend - ongoing topping action is now bearish to neutral
Weekly trend - neutral to bullish
Monthly trend - bearish (since early 2008)
MORE:
http://www.zerohedge.com/forum/market-outlook-0
Follow me, this only makes sense in the context of a take over.
Remember corporations have the legal rights of a person, the rules on percent ownership of a single public corporation may or may not be applied today (like so many other rules), but could be majority owned by a consortium of aligned separate legal entities.
The fed would not name all of the recipients of taxpayer funds. Price would not matter only if the funds were free (0% interest and printed not worked for) and you wanted to TAKE OVER THE WORLD. Thus, they are buying not based on fundamentals, not based on technicals, but on INFLUENCE. With a combined entity majority or major stake in corporations, they can influence the agendas of those entities and exert control and power over all boards, executives, and employees.
Of course with an increasing market, second equity offerings can be issued to turn around and pay off the bank loans off that would never have been paid back. Also, if banks have significant positions in corporations they could in effect outline the terms of their financial services in all future dealings with the corporation (in the best parternship interest of the shareholders).
Who owns these shares (%), where did they get the funds to buy, and why needs to be answered.
good stuff Robo but doesn't Shatner look now like he has literally morphed into a truly mature PigMan of epic proportions? He wins the trophy for porcine perfection. The squinty hoggish eyes, the massive bloat beneath the dye job and laser hair plant, the unabashed bar room drunk's guffaw,- the guy is a study in diseased excess and rampant hedonism. Probably for these reasons he remains the best pitchman in T.V. land; an intellectual moonscape of such vast proportion that it baffles the mind.
Yes, Shatner is a genuine hedonist. People like him are extremely rare in a narcissistic, puritanical society. I salute him...
high-frequency on jon stewart last night: http://www.thedailyshow.com/watch/wed-september-30-2009/cash-cow---high-...
Whas up Robo Bitches? One day it's penny stocks, now it's large caps. Are your circuits fried?
Green Shoots everywhere on that farm