This page has been archived and commenting is disabled.
We Had Sharp Rallies in 2008 Too… How’d Those Work Out?
The markets
are snapping back sharply on short covering and end of the month performance
gaming. Hedge funds have been getting destroyed over the last few months. So
now, more than usual, there is incentive to push the market higher, mark up
their positions, and end the quarter on a positive.
We’ve now
filled the gap from last Thursday and our moving to challenge resistance at
1,200.
Do not let
these sharp rallies fool you into thinking that the ongoing Crisis in the
markets is over. We had very similar sharp rallies in 2008. In fact, during the
Crash itself we had three sharp rallies of 11%, 17%, and 20% respectively.
Every time the market rolled over hard soon afterwards.
Our primary
point is that just because stocks rally doesn’t
mean things are better. The markets were sharply oversold and short interest
was rising dramatically. In this environment it’s quite easy to kick off a
sharp short-covering rally due to rumors and the usual end of month performance
gaming.
About the
rumors.
Steve
Liesman of CNBC claims a source informs him that we’re going to see a leveraged
European Financial Stability Facility announced soon. Liesman’s source
obviously doesn’t know what he or she is talking about OR the story was a plant
(or both).
The reason I
can say this with certainty is that German is fed up with bailouts as the below
quotes from Finance Minister Wolfgang Schaeuble attest:
*SCHAEUBLE SAYS `WILL NOT SPEND OUR
WAY' OUT OF CRISIS
*SCHAEUBLE SAYS `SOLIDARITY HAS
LIMITS,' REQUIRES RETURN EFFORTS
*SCHAEUBLE SAYS `IMMEDIATE FISCAL
REFORMS ARE OF THE ESSENCE'
The reality
is that Europe in its current form is over. No German backstop means no success
for the EFSF no matter who big it becomes. Germany IS the backstop for the EU.
Take it out of the equation and the EU in its current form is finished.
So those who
are buying into Liesman’s BS are going to be in for a truly RUDE surprise in
the coming days. We’ve seen how heavily manipulated rallies end several times
in the last six weeks: BADLY.
Indeed, last
week we got a confirmed SELL on my proprietary Crash indicator. This is the
SAME indicator that registered before the 1987 Crash, the Tech Crash, and the
2008 collapse.
It's just
triggered again... which means that last week’s sell off is JUST the beginning
of what's coming.
Yes, the
GREAT COLLAPSE has begun. The markets will be going to new lows (below the
March 2009 lows) in the coming months.
We're also
going to be seeing major banks go under, market crashes, food shortages,
government shutdowns, and SYSTEMIC FAILURE.
Yes, I
believe that before this mess ends, the financial system as a whole will have
collapsed. What's coming is going to make 2008 look like a joke.
If you have
yet to prepare yourself for what’s coming, my Surviving a Crisis Four Times
Worse Than 2008 report can show you how to turn the unfolding disaster
into a time of gains and profits for any investor.
Within its
nine pages I explain precisely how the Second Round of the Crisis will unfold,
where it will hit hardest, and the best means of profiting from it (the very
investments my clients used to make triple digit returns in 2008).
Best of all,
this report is 100% FREE. To pick up your copy today simply go to: http://www.gainspainscapital.com
and click on the OUR FREE REPORTS tab.
Good
Investing!
Graham
Summers
PS. We also
feature four other reports ALL devoted to helping you protect yourself, your
portfolio, and your loved ones from the Second Round of the Great Crisis.
Whether it’s my proprietary Crash Indicator which has caught every crash in the
last 25 years or the best most profitable strategy for individual investors
looking to profit from the upcoming US Debt Default, my reports covers it.
And ALL of
this is available for FREE under the OUR FREE REPORTS tab at: http://www.gainspainscapital.com.
- advertisements -
Just remember the reason we have NO REGULATORY CONTROL or other help with illegal market manipulation is because we have rigged political markets, 2000, 2004, especially, which set the stage for what we have now. We have had a digital Coup d' etat.
*********************************
Nat Sec Lab Hacks Diebold Touch-Screen Voting Machine by Remote Control With $26 in Computer Parts Tags:What makes this hack so troubling --- and different from those which have come before it --- is that it doesn't require any actual changes to, or even knowledge of, the voting system software or its memory card programming. It's not a cyberattack. It's a "Man-in-the-middle" attack where a tiny, $10.50 piece of electronics is inserted into the system between the voter and the main circuit board of the voting system allowing for complete control over the touch-screen system and the entire voting process along with it.
Add an optional $15 radio frequency remote control device, and votes can be changed, without the knowledge of the voter, from up to half a mile away…
I think the days of cobering up all this debt that cannot be paid are over
I agree with Summers
however everfy time we get this close they pull a raabit outr the hat
www.buymynewsletter.bs.org
Scare 'em into buying that "must-have" subscription!!!
Steve Liesman of CNBC claims a source informs him that we’re going to see a leveraged
European Financial Stability Facility announced soon
Umm this is a tough one to work out! Now where does Fed crone and ingratiated central bank insider, Steve 'BS Statistics' Liesman get his 'inside info' from? ... i think that'll be the Fed and Tiny Tims 'fiscally unsustainable oufit' at the US Treasury
Who got sent packing in the Eurozone for suggesting a leveraged fund? Tiny 'fiscally over-leveraged and financially unstable' Tim. Who would put out a maliscous market rumour for the Europeans to field (annoy them) having had his botty spanked in Europe and his name trashed in every newspaper across the globe?
Answers on a Postcard to: Tiny Tim Got His Botty Spanked in Europe, Steve Liesman Spreads Pork Pies, Home for Govt Propaganda, Postcode. CNBC-R-SHITE
Sir your comparisions to 2008 are insightful and a breath of fresh air.
I hope you are forwarding these dire warnings to your coworkers and family members as often as possible.
Dr. ZERO HEDGE OF DOOOOOOOOM AND DISPAIR SPEAKS!!!!!!!!!!!!!!!!!
EYES WIDE SHUT BITCHEZ!
Appreciate the stats.
However, imo it is too late to prepare. The window for preparations was from 2008 until earlier this year.
The question is what happens to these massive amounts of debt that cannot be serviced, let alone be paid back ever. Delusion is running deep among many financial gurus that simply fail to acknowledge the inevitable. For lack of understanding or lack of trying or?
Deflation is here. Even printing 5x more money will bring deflation. Those who don't understand that need to open their minds wider.
Clearly the delveraging is deflationary but you can be certain the fed will be chasing it with printed dollars. What society with a fiat currency has ever rolled over and died from a deflationary nightmare?
There is no chance Bernanke is going to allow a massively deflationary xfer of wealth to the conservative savers. No chance in hell.
If you were using 2X inverse ETF funds in 2008, you know how those rallies ate your position alive. Each rally occurred along with the monthly OpEx. Even though the index you were "mirroring" was down over the last 4 months of 2008, so was the 2X inverse ETF.
Manipulation?
Stocks around the world are not that terribly expensive right now, niether is gold.
I wonder if the market has finally piled enough people into bonds for the slaughter ...