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Is a Massive Head and Shoulders Pattern Completing ... Just Like On the Eve of the Second Wave Down in the Great Depression?
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In January 2009, I pointed out:
The Telegraph's lead economic writer, Ambrose Evans-Pritchard, has an interesting article arguing that we are in 1931-like conditions:
- A big crash has already happened
- Things are very gloomy
- But we haven't been hit by the biggest crash, the "second leg down" which didn't end for a couple of years
What's he talking about?
Well, look at this chart:
(click here to see full image).
As you can see, the 1929 crash was actually very small compared to the "second leg down" crash which didn't end until 1932 or 1933.
According to Elliot Wave and other chartists, a second - bigger - crash is on its way, just like Evans-Pritchard is warning.
Today, CNBC is reporting:
The
Dow Jones Industrial Average is repeating a pattern that appeared just
before markets fell during the Great Depression, Daryl Guppy, CEO at
Guppytraders.com, told CNBC Monday.
“Those
who don’t remember history are doomed to repeat it…there was a head and
shoulders pattern that developed before the Depression in 1929, then
with the recovery in 1930 we had another head and shoulders pattern
that preceded a fall in the market, and in the current Dow situation we
see an exact repeat of that environment,” Guppy said.
(Robert McHugh is saying the same thing.)
And yesterday, Evans-Pritchard gave
an update on macroeconomic trends in an article entitled "With the US
trapped in depression, this really is starting to feel like 1932":
"The
economy is still in the gravitational pull of the Great Recession,"
said Robert Reich, former US labour secretary. "All the booster rockets
for getting us beyond it are failing."
"Home sales are down.
Retail sales are down. Factory orders in May suffered their biggest
tumble since March of last year. So what are we doing about it? Less
than nothing," he said. [You can read the rest of Reich's essay here]
California is tightening faster than Greece.... Can Illinois be far behind?
***
Roughly a million Americans have dropped out of the jobs market
altogether over the past two months. That is the only reason why the
headline unemployment rate is not exploding to a post-war high.
Let us be honest. The US is still trapped in depression a full 18
months into zero interest rates, quantitative easing (QE), and fiscal
stimulus that has pushed the budget deficit above 10pc of GDP.
The share of the US working-age population with jobs in June actually
fell from 58.7pc to 58.5pc. This is the real stress indicator. The
ratio was 63pc three years ago. Eight million jobs have been lost.
The average time needed to find a job has risen to a record 35.2 weeks.
Nothing like this has been seen before in the post-war era. Jeff
Weninger, of Harris Private Bank, said this compares with a peak of
21.2 weeks in the Volcker recession of the early 1980s.
"Legions of individuals have been left with stale skills, and little
prospect of finding meaningful work, and benefits that are being
exhausted. By our math the crop of people who are unemployed but not
receiving a check amounts to 9.2m."
***
Dean Heller
from Vermont called [the jobless facing an imminent cut-off of
unemployment benefits] "hobos". This really is starting to feel like
1932.
Washington's fiscal stimulus is draining away. It
peaked in the first quarter, yet even then the economy eked out a
growth rate of just 2.7pc. This compares with 5.1pc, 9.3pc, 8.1pc and
8.5pc in the four quarters coming off recession in the early 1980s.
The housing market is already crumbling as government props are pulled
away. The expiry of homebuyers' tax credit led to a 30pc fall in the
number of buyers signing contracts in May. "It is cataclysmic," said
David Bloom from HSBC.
Federal tax rises are automatically
baked into the pie. The Congressional Budget Office said fiscal policy
will swing from a net +2pc of GDP to -2pc by late 2011. The states and
counties may have to cut as much as $180bn.
Investors are
starting to chew over the awful possibility that America's recovery
will stall just as Asia hits the buffers. China's manufacturing index
has been falling since January, with a downward lurch in June to 50.4,
just above the break-even line of 50. Momentum seems to be flagging
everywhere, whether in Australian building permits, Turkish exports, or
Japanese industrial output.
On Friday, Jacques Cailloux from
RBS put out a "double-dip alert" for Europe. "The risk is rising fast.
Absent an effective policy intervention to tackle the debt crisis on
the periphery over coming months, the European economy will double dip
in 2011," he said.
There is alot of talk of a massive new round of quantitative easing. But as long as the real problems with the economy are not fixed, the additional stimulus will just create a larger drag on the economy.
»
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Jesus Christ did they just figure this out? No wonder the US is doomed.
Well we know how the political debate is going to run till the elections. Ds are going to be harping on the threat of depression and trying to throw the blame on Rs for killing this or that spending bill. Rs are going to be promising tax breaks (to audiences made up mainly of people who already don't pay any), and at the same time clinging to the banner of fiscal responsibility. And then the new R congress will compromise with the old D president on yet more tax breaks and yet more stimulus. Hurrah, everybody's happy! Until the Treasury market finally crashes.
Reminds me of the brilliant political insights of those old Miller Lite ads. "Tastes great!" "Less filling!" "Tastes great!!!" "Less filling!!!" "TASTES GREAT!!!!!" "LESS FILLING!!!!!" And then they all sit down and drink the same pisswater.
I always loved the old saying “the smart people lost all their money in 1929 – the REALLY smart people lost all theirs in 1932.” After that the Commie Roosevelt confiscated gold.
Martel - good point ... this will test Faber's theory that the boys will never let the stock market really crash ever again.
http://www.youtube.com/watch?v=Vrk6jhVrP2o
.
rockin' in a weary land. m.z.c.
I am going to suggest a solution and no it has nothing to do with the Fed or the banks or fiscal injections.
On the basis that the way to fix a problem is to go back to the time when you didnt have that problem, I suggest that the problem is one of the scale of productive employment, not unemployment.
I say it is time to repatriate jobs back from overseas, since it is clear that exporting jobs to BRICS is too damaging to the US. Global economic growth probably cannot be more than 2% and it really just depends who gets a share of it.
This can be accomplished by the simple expedient of banning imports, ALL imports and re-igniting the engine of economic growth and the generation of wealth via full employment. The vaccuum this will force in BRICS will be sufficient to force them to stimulate domestic demand or, well, go to hell.
Banning imports means that all consumer goods will have to be produced at home, re-establishing the growth dynamic for the full range of products from tanks to buckets.
The banks can get the money to the private sector and productively employ capital.
Of course it is all an illusion, but it is by no means a worse illusion than racking up 1.5 trillion of debt every year.
Couple of guys named Hawley and Smoot tried that in 1930. Didn't play to well. You are on the right track but I think you should focus on penalizing the corporations who outsource rather than an outright ban on imports. Or, more to the point, revamp the Sherman Anti-Trust sledgehammer and dismantle all the corporations that exceed .005% of GDP. Small businesses do not outsource but do hire. Lots of other bennies from this track as well.
maybe there is a better version than Shermans sledgehammer. we should be smarter strategically now. point is, we need a change in strategy, given an accumlating deficit @ 1.5 tn p.a. why is a monetary only solution the anwer? i dont ask my bank or my government for the right to pay 4% over fed funds for my mortgage or pay (increasing) taxes for less services. work with me here! people = small biz...that mean we want our houehold budgets to shift income and spending patterns for a better macro result?
http://thezeitgeistmovement.com/
i meant to be more specific with this link
http://www.thezeitgeistmovement.com/A-DesigningtheFutureE-BOOK-small.pdf
food for thought
thanks dedhead, another 79 pages to get through! I don't have the vision yet, jut trying to correct micro so that macro is better!
Congratulations Holigan, you got it.
Your comment is the first i have read here on Zero Hedge that are spot on! The invisible hand crap of neo liberal economics is bullshit. Perfect free information, all work hours yields the same outcome, all economic activity is the same etc. The modern western economies are all fucked by Newtonian metaphors and mathematics.
Its one age old rule of international Economics:
EXPORT INDUSTRIAL GOODS AND IMPORT RAW MATERIALS.
More info see: http://www.othercanon.org/
Eventually you'll get used to it. And when a simple beer will cost a trillion and the deficit will be 5 Googles, you'll ask yourself: "Why didn't they just downpay the debt in the bigining? It was only the same price as a sixpack and 3 packs of smokes.
Apocalypse DOW!
Wynd-
Please help and explain. True believer in invisible hand-Check. I hated Adam Smith until his comment that no one person could fabricate a pencil, then tried, then bought some books before enforced durance vile on a gray boat, studied a bit to overcome my inferior technical training.
What is this price/random walk thing? Mandlebrot doesn't think so, nor Henry and he owns a chunk of the sainted Red Sox.
Insane pollution goes away with increasing civilization, as does population growth. Mounting health crisis? We can do 'flu in 1918 or Black Death or ... (you can pick if you work at it). Doubt we're gonna become DPRK any time soon, it would kill AAPL sales and AlGore would be displeasured.
- Ned
Hey Ned.
About the invisible hand... I believe in it myself. I do believe that Nature has a way of keeping things in balance..including human and animal activity. WW2, plague, comets killing off dinosaurs... the music of chance is infinitely more powerful than anything we can imagine. We shall continue to exist on Earth until we do not and the Universe won't give a shit. The entire existence of mankind is but a nanoblink in the scheme of things... I just think people get so caught up in this idea that man is in control.. Well he isn't..(and she isn't either!) Never have been. Whatever level of enquiry we reach there is an infinite degree of higher levels to discover. So in a nutshell on a long enough time scale the survival rate for everything drops to zero. Think I saw something along those lines around here ;-)
My reading of Mandelbrot is that he does believe in a random walk, it's just a different distribution than a gaussian one. So in fact he believes in much greater randomness in the sense that moves can be violent and binary and for all practical purposes (like investing) unpredictable..more Pitfall than a walk I guess.
As for pollution, yes they used to dump gasoline in rivers in Pennsylvania before realizing they it could be used in automobiles and 11 year olds working 16 hours shifts died of lung disease in early industrial Britain. But it seems to me that the more problems we solve with technology the more we create. We cut back on CFCs. Great. But I would argue that with the fiasco of 20 years of deregulation we might have damaged our ability to react in time to avert the ongoing environmental catastrophe. Climate change is the least of my concerns. I am most worried about the oceans. We are killing them dead. If plankton goes then it's up to cockroaches to represent for humans will soon be forgotten.
FYI I have never fit in. I am very much a lone wolf type of guy. Very personable. I get along with almost everybody. It's why I get flushed quietly when my views start to make people nervous.. And this has been the case since the mid 90s. So I have a mad scientist's sense for wanting to see the world fail as it has done nothing more than torture me for most of my life.... from being 8 at summer camp and pissed on in the shower by bullies to being pushed out of the film industry where you would think that someone who lives on the margins of popular thought would be accepted...not. I think that people are generally self-obsessed assholes..present company included.. Unfortunately that has been my experience through life as I am also gullible which means I assume that people are generally dealing with me in good faith...HA! Tell me another one!
Wyndtunnel
Wynd-thanks for comment. I'm off to dinner, but will be back. Mandelbrot did the Cotton Market thing in his book.
I try to digest comments and find research that is available--sometimes I'm good at that.
Will be back.
- Ned
You can bet your life on it pontiac.
a very fine article indeed - there was no recovery, there is no recovery, and there will be no recovery....
anyone who calls anemic economic growth (distorted) in the face of massive unemployment is a sociopath..
How is it that true believers in the inivisible hand of markets seem to absolve reality when it comes to applying the same prinicples to the macro level? If individual prices rise and drop on a random walk (including binary drops from something to nothing) well so can markets as a whole at all levels of scale: municipal, industrial, national and global... we are human after all and not dancer. We can leave it to the HFT algos to pull off an impressive jig or a vigorous two-step on demand.
Unlike previous regime threatening collapses of Centuries past, however, we should have known better this time...of course "we" means the ones who piloted this sucker through the past 50 years on the political and economic level... as revealed in many places on ZH (forgive my laziness in not fetching the links) this involves a surprisingly tightly knit group of extremely wealthy and powerful people. Ah but then one has to wonder... I don't doubt for a second that any of us in a similar position as the Illuminated Bildebergean Squidlets would have done much different.. Selling one's soul to the Devil pays astonishing dividends it would seem...
The Small people need to fight back and build better defenses. We need to instill in our young better values. We need to respect our environment and start valuing ideas and processes that add human value to communities as opposed to material value. Status seeking and the Cult of Beauty need to be either vilified or at least put back in their place (ok for adults but not for tweens) A serious rethink is needed about what it means to be human in an age of social networking and unmonetizable cultural artifacts.
A great danger if intellectual property continues to be debased as a marketable product is that the powers that be will see to it that it becomes so...I can only see that leading to the end of a "free" internet. The fact that the film and music industry are losing purchase in the world economy is not helping in this depression... We don't hear much about the value of cultural exports...it's all commodities all of the time. We've gone from the New Economy of the late 90s back to the Old Economy of the 19th Century where we depend on the movement of raw materials more than anything else to keep us afloat. Entertainment, once considered recession proof may have finally met its match.. The Internet will be the logical next "place" for a clampdown by corporations who can no longer afford to keep it operating on a more or less free basis. As absolute advertising revenue declines it will become clear to TPTB that THE INTERNET is the source of all our economic woes for it has destroyed business models and not replaced them with something BETTER. In fact everything the Internet touches becomes decimated and the revenue model falls apart. Even PORN is not immune. I couldn't believe my eyes when I recently saw an AD on t.v. imploring pornofiles not to illegally download porn titles for it diminishes American porn shops' ability to produce their vitaly important product. Stimulus indeed.
And what is adverstising anyways but the ponzi that PONZI built. Without the influx of ponzi cash the ad ponzi is melting down before our very eyes. Why spend on advertising if it doesn't work anymore? The small people don't buy it. The shiny happy people in their silver S.U.V.s happily off roading in the forest, the beautiful couples fawing over their adorable daughter as she graduates from an Ivy league school thanks to their shrewd mutual fund investments. Who buys that crap? Who buys the $1 million ads that play on CNN and CNBC promoting Coporation X's commitment to America and to "innovation"? And right through the worst of the credit crunch the ads continued. I guess if you paid for 'em you might as well air them right?
The single biggest mistake by the banksters was their incontrovertible innability to resist getting back to the bonus binge... THAT is what has done them in. Nothing else really. The layoffs, the pay cuts..we've seen all that before..but the BONUS culture? We didn't really know the extent of it. And then of course BP exploding that oil volcano at the bottom of the Gulf couldn't have happened at a worse time and again the large corporations cannot but have contempt for the "small" people.
As the advertising world collapses, as it most certainly will if things continue on their persistently dowward trajectory, then it won't be long before blogs are finally silenced. You know, it's expensive letting people say what's one their mind. The cost of going online will simply be too much for the small people so anyone not in the loop or without serious bux will be silenced. The New and Improved World Order will be upon us in earnest and The Eye of Sauron (0% interest rates), unshackled from the trivial musings of non-PhD blogheads, will be free to spread it's darkness over the land, eating up resources across the Globe, converting them into consumer products for Asia and India to feed on as we choke on the refuse of their newly found Ilth.
If we don't get sent back to the dark ages then the best that I can muster is that the whole world will be cyberpunk... a mixture of extreme poverty and wealth living side by side but kept apart by walls of technology. There will be insane pollution, mounting health crises, increasing violence...and yet everyone will have a Volkstelefon, that is to say some Jobsian communication device for the masses, as it will be the one and only piece of technology with everything on board to keep you alive: from state issued i.d. to digital credits that you've earned through a series of humiliating acts augmented by whatever dusting of gold you can get your hands on.
The future is so deadly, I have to wear shades..lest you see a grown man cry.
Good Post, Wyndtunnel.
The TPTB understand that the Internet is a symptom, that our economic problems are due to a fiat money system controlled by private central banks. If you think of the earth as a closed system, and as a giant petri dish, humans have consumed the agar (resources) in the centre of the dish, and we are now eating our way outwards to the edges. It is only a matter of time before we consume more resources yearly, than the earth can replenish. It is simply impossible to continuously grow within a closed system and so we need to either expand resources or adapt to a steady state situation, before we destroy ourselves and the ecosystems of space ship earth. (BTW, Manmade GM is a fraud, but this does not mean we face other pressing environmental issues).
According to this beautifully filmed documentary (HOME) 95% of the earth's mineable resources will be gone by 2050.
http://www.youtube.com/watch?v=jqxENMKaeCU&fmt=22
Damn there are some great writers and thinkers on ZH, thank you all for the lift..
I went long a few at the money calls on SSO this Friday... I predict a giant fake-out before the epic crash. This is the Larry Summers administration after all. What better way to damage Obama's enemies?
Marc Faber would probably say there won't be any second leg down. There will be more TARPS and money printing to keep the stock market afloat. How much? As much as necessary.
Of course, measured in gold there might be a 2nd leg....
That has already happened look at the DJA or SP500 valued in gold.
If the Zimbabwe School of Economics is still having it's way, we will see the mother of all stimulus plans unveiled soon (trillions of FRNs dropped from C-130s).
"History rhymes, not repeats."
I think this depression we will have a dust bowl in the water. The economic impact of the Gulf spill should keep GDP growth in the red for years.
"History rhymes, not repeats."
I think this depression we will have a dust bowl in the water. The economic impact of the Gulf spill should keep GDP growth in the red for years.
Starting to Think About a Revolution
What are you doing next Thursday? Shall we overthrow the United States, darling?
After all, it’s clear that the United States Government belongs to the powerful, who are determined to loot and destroy us all. I mean, that’s a given now, we all know that, that’s settled, and it’s not going to change. They talk about the “new normal” being a lower rate of growth. Sorry Bill Gross (Bill Gates, too, for that matter). The “new normal” is that the United States is destroying the people of the United States. That’s the “new normal,” and it’s never going to be different. So hadn’t we better destroy the United States before it destroys us?
So darling, put on your best Hitchcockian thinking cap (something from Dolce and Gabbana, please) and ponder: how shall we do it? We have to carry out a killing, but we don’t want it to kill us—and we do want to kill it, we want to stab it with our steely knives and this time we do want to kill the beast.
We’re agreed: have the maximum effect with the least danger to ourselves. That, after all, is the lesson of the Boston Tea Party—very specific targets, attacked at night, with the minimum of physical risk. Dead revolutionaries are no good to the cause.
Few things. It seems, indeed, that we don’t have to think too hard, to look too far afield for ideas. Those who are suffering most are already the most active. But soon you’ll be suffering too: use that. The suffering already have a strategy, something like civil disobedience. It’s called, “Overwhelm to Overthrow.” The revolution: it’s working (fab bumper sticker). You will be amused to learn that the writ of the United States—that dreadful monster—is ceasing to run. They’ll shudder even to read that in Washington, and they’ll press the CIA/FBI button—that’s good, because it’s provocative.
People who are having trouble paying their mortgages are not paying them, and these rascals are not leaving, either. The system can’t cope with that, CIA or no CIA. And it’s spreading, to include those who are having no trouble paying their mortgages, but are looking at the morbid demographics, which tell them unambiguously that soon they won’t be able to pay their mortgages, either. And you won’t either, darling.
So, good stuff, fortifying, even if you’re sitting in suburbia, or in your office—or in your car!—sipping coffee as you read this: them first, you next, comrade. Did you ever think all your hours of watching T.V. would come to revolution? No matter how much money you think you have, the United States is coming after you, to destroy you? But remember it, because it’s true.
So, appraisal fraud is a good defense, but rock-solid demographics are turning out to be a good defense against mortgage payment as well. Laughing at the United States Government is also a very good strategy. It reminds us that the United States is mortal, and that we the people are not. It reminds us that the Constitution does not begin, “We the United States.” How does it begin? It begins, “We the people of the United States.”
The Times itself ran an article with the headline, “Owners Stop Paying Mortgage, and Stop Fretting.” Well, that made me fret. Naughty Times—aiding and abetting the overthrow of the United States, are you? No one could have dreamed, five years ago, that such an article would be written—or that the Times, the newspaper of record, would publish it. It violates contract rights, property rights, loyalty to the United States, blah blah blah—it even threatens apple pie (don’t ask me how). It violates every right except one: survival.
Of course, renters have a bigger problem. The eviction process is swift in their case—but that only invites the question, what suggestions do you have for them? What legal approach should they take in order to make their cases like those of the mortgage scofflaws—cases lasting, basically, forever, and, in short, overwhelming the courts? Hmm? Of course, if the landlord is behind in mortgage payments, then use as a defense that the landlord has breached the covenant of quiet enjoyment by putting the lease agreement at risk. So look into that, my pets. Any other ideas?
Then there are those pesky taxes. That’s a revolutionary fave. Of course, most people have taxes withheld then have to get them back. Instead, file as exempt and then make the Government come after you. Sound risky? There is interest and penalties as the process proceeds, but here again, ask for an IRS hearing, and then appeal the result to the U.S. District Court. Argue, again, the demographics: they prove you are going to need that money because the economy is falling apart.
And if you get stern looks about that, remind our hooligan courts that the cases which allow the Government to loot us all—West Coast Hotel v. Parrish and United States v. Carolene Products—both ground policy on “maintenance” of important facts such as income and health. Ask the Court what, in fact, is “maintenance”? It sure isn’t deference and discretion, the grounds on which the last two bailout bills went forward, the basis on which the looting is still going forward.
This too is a revolutionary fave: throw the Government’s words back at it, make it reveal that it doesn’t mean what it says, that it really means to destroy people. Make them stutter, slobber, and do bad, contradictory things in public, the whole world watching. Provocative.
Then there’s also bankruptcy. This is on the rise despite the provisions of the new bankruptcy bill. Make them change the system by overwhelming it with cases. Remember that time is not on your side. The Government is out to destroy you, and is moving quickly. Also note that the fees are often so high that people cannot afford to file for bankruptcy, so if you are anywhere near the bankruptcy situation, get a move on.
But now I’m running out of time, and I’ve been tweeted fifteen times since I started writing this. Long story short: don’t bite government if it can bite back, but if it can’t bite back, bite hard. This takes some strategizing, some hard thinking and creativity. But remember the goal: to get a government which enforces our survival, not our destruction. And that means ALL of us, not just some. And it means WE are able to enforce it—it is not enforced “for” us by others (with that being the only method individuals have of getting it enforced). A gazillion years of shoddy thinking, dirty deals and plain old-fashioned organized crime masquerading as “authority,” have left us with a shambling monster that needs to devour us in order to live. It’s the Vietnam War strategy brought home: the country must be destroyed in order to save the country.
Surely a government that stupid can be outwitted, can have its own devices, its own rhetoric, used against it. But remember the goal: overthrow, not reform. Specific, de jure overthrow. A new government, not a new, improved United States Government.
Finally (or rather, to start with), just plain old rumor and comparing notes. In short, the underground. Discussing with your neighbors and friends, what works and what doesn’t. What ties the United States in knots without tying you in knots.
So let’s overthrow the Government—it’s dying anyway, let’s hurry it along to its grave. The rotten carcass, it’s stinking up our country. It’s a sociopolitical oil spill, and it’s spreading like mad.
And let’s not wait until Thursday. Actually, my calendar’s open Wednesday. How ‘bout then? Let’s do revolution. Just think of the above as a sort of post-modern declaration of independence. Just do it.
Yay!! Hell yes, run those cockroches right into a prison cell for the rest of their lives (ha! to their own Prison Industrial Complex!).
Read the Declaration again and notice that ten years of attempts at redress were tried before they were forced by a Crown making war against them to rebel. We have a good chance in the next three elections to throw the bums out and restore rule of law, a free market, honest money and impartial taxation. We have the Constitution on our side. We just got fat and lazy and let the crooks take over.
So the best start, would be to Re-Elect No Incumbent.
With this as a starting supposition, the likely winner is the opposing major party candicate?
Same bad penny. Heads they win; tails you lose. No change effected.
With corruption and cooptation of control this deep, can attempting change from inside the system succeed?
Dang it Dave, are you on acid again? Channeling Saul, Frances Fox, and Richard all at the same time? Man, your head is going to explode! Come down off of that ledge, gently now.
When you say "lets" that is contraction for Let Us isn't it?
Who the Us you talking about???
- Ned
Voluntary default on any and all personal and mom and pop debt, just stop paying, period. Simple non-cooporation and non-payment(s) and let see who's got who by the fucking balls,.. eh!
FINREG's are in aghast at the number of mortgage holders who walk away from their ridiculously overpriced mortgages. Never mind that it is the intelligent thing to do if you have a non-recourse loan that is underwater. Never mind that it is a business decision made daily by Wall Street, don't kid yourself, Fannie, Freddie and FHA are the government – and wants you to feel morally obligated to be docile to keep on paying. Shame. Shame. On them. Not you.
I live in a non-recourse state. My mortgage is not underwater. Yet somehow I can't help but feel ass raped over the fact that the banksters loaned money to every Tom, Dick and Shitbreath to build/buy houses they couldn't afford, sending my equity off a cliff.
I built my house in '99, didn't use it as an ATM, (little equity bites here and there, paid in full) and paid extra on the principle. What a GREAT move on my part. See, in America, responsibility pays off. I am seriously debating the following action:
Dear Evil Bank,
In July of 2008, you purchased my mortgage from its now defunct holder for sixteen cents on the dollar. In two more months, I will have paid you in full, the entire amount you paid to take this loan, with interest.
Taking into consideration the damage your institution and its counterparts have done to my personal balance sheet with your reckless lending policies, please be informed that my monthly payment dated Sept. 1, 2010 will be the last.
The keys will be in the mailbox when you come looking for them, kindly go fuck yourself.
DR,
"A new government, not a new, improved United States Government."
That's what we're getting now, and WE DON WAN IT.
Their idea of a New Gub, isn't in anyway, form,shape, or fashion, to what WE the PEOPLE want.
And, "That's all I have to say about that."
agree we are in for a rough ride of deflationary depression, but also agree it will likely be different in ways that make screw regular people and help insiders...
History rhymes, not repeats.
This time, the down leg will be harder and will stay down hard, long or completely disappear in some multi-contextually fired conflagration of currencies, commodities and markets.
One mad dog bounce left though.
ORI
http://aadivaahan.wordpress.com
History rhymes, not repeats.
This time, the down leg will be harder and will stay down hard, long or completely disappear in some multi-contextually fired conflagration of currencies, commodities and markets.
One mad dog bounce left though.
ORI
http://aadivaahan.wordpress.com
I tend to agree but it had better happen in the next two weeks. Otherwise, watch out below.
How long before Washington adopts Wall St's mantra of gloom/Great Depression II unleashed on Joe the Plumber such that another round of QE can be unleashed? Tyler already showed us GS's broadly negative publications recently.. SPX 660 etc.
wasn't it SPX 666?
- Ned
This is the most reported on head and shoulder formation in all of history!
And b/c of quants and technical traders, this will become a self-fulfilling prophecy IMO. Heaven help us...
I'm short - let the algos go wild.
Let me algos go loose, Lou!!
Tie Me Kangaroo Down Sporthttp://www.youtube.com/watch?v=_D-LmRNdQiQ
The H&S of Ambrose-Pritchard is indeed a hummer, but nothing compared to the one we seem to be living in right now. Go to any good charting service, and do a plot of the Dow or SP500 from the mid-'70s to present.
http://bigcharts.marketwatch.com/advchart/frames/frames.asp?symb=sp500&t...
Now that is a head and shoulders which if it completes the full pattern will be a genuine attention-getter.
Cheers,
Sunny