Running "The Program"

Tyler Durden's picture

Authored Sven Henrich via,

As the dips keep getting shallower and shallower and market projections get more bullish by the day (see Goldman’s capitulation today) the running volatility compression program continues to be the cornerstone of market gains.

Just last week we got another taste of the precision with which the program is run:

The result: As so many times before, nothing but gains since the trend line tag. Indeed the lower trend line now appears to be the must hold for what bears remain in markets:

Why is all this relevant? For one it helps identify risk/reward at any given time. But more importantly the trend lines keep narrowing. At one point the program ends.

Global markets have ended all forms of 2 way price discovery as volatility compression has continued unabated:

Note how historically unprecedented the complete elimination of 2 way price discovery has become and also note the structure in context of the volatility compression. It is dependent on it.

What is Wall Street telling eager ETF buyers right here and now? Nothing but upside:

Markets no longer correct and no longer bear (pun intended) any risk. Goldman calls it “rational exuberance’.

I call it what it is: A bubble blown to extremes by trillions of ongoing central bank intervention and record ETF inflows to the tune of $400B this year, a QE program on its own if you will.

Hardly noted: Corporations have reduced the amount of money allocated to buybacks, just as retail is drinking the Wall Street cool aid of nothing but milk and honey coming.

Bubble away. Until the program changes.

I’m watching closely for signs of a coming change in the program. I suggest you do too. Or you can listen to Goldman. Up to you...


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NumbersUsa's picture

Oy vey! Now, seven flags over Texas? by hedgeless_horseman Nov 20, 2017 12:30 PM


Isn't it amazing how much power the jew supremacists have to make articles exposing their takeover of America disappear and replace them with articles featuring giant dildos for goy amusment.

Ripped out of ZH's lineup :

you can't even find it in a ZH search.

Call your Congressman, Senator & the WhiteHouse and let them know we want the zionist neo-con dual citizen jews out of all areas of our government NOW! 

For the President-White House switchboard at 202-456-1414

White House comment line: (202) 456-1111

To call your Member of Congress: 
US Capitol Switchboard (202) 224-3121 (just ask for your Congressman or Senator)

BullyBearish's picture

do you really think calling my congresspuke or senator or the zionhouse will help?...they're all full fledged tribe members or owned by them

Arnold's picture

Settle down.
It is still high in the contributors section queue.
Found it again in less than ten seconds.

Although incendiary, you let your self loathing over come your common sense for a while.

Arnold's picture

By the way, I agree that you should be twisting your local Critter's nuts every day to get them off their self entitled asses.

Just to remind them they work for us.

shovelhead's picture

Or just to hear the mighty guffaw in your face.

They work for whoever fills the campaign chest and that ain't you.

Arnold's picture

That's a fact, Jack!
Full faith and trust.

finametrics's picture

the subversion skill of the j00 is incredible. i guess a thousand plus years of practice would get you there.

Lmo Mutton's picture

"This pattern will eventually break higher."

Unless it doesn't.

espirit's picture

How low does it have to go to delist?

Ajax-1's picture

OK, it's settled. DOW 50,000 here we come based upon nothing more than rigging, bullshit and black magic.