Quad Witch 'Pins' S&P At Exactly 2500 Despite Dismal Data, Nukes, & Terrorism

So to be clear, this week we had:

  • Hurricane Irma crushes Florida
  • North Korea test fires ICBMs across Japan (again)
  • Economic data misses across the globe (China and US most notably)
  • Terrorism in UK and France

And the result - drum roll please - new record highs for The Dow, The S&P, and The Nasdaq... with The Dow's best week of the year!!

 

And in case you wondered what sent stocks soaring this week... The Fed (which is supposedly on the verge next week of starting to reduce the balance sheet) saw a $17.7bn spike in its balance sheet - the biggest weekly jump since Dec 2016

But, now that the ubiquitous pre-Quad-Witch ramp in stocks is over (and with The Fed about to start 'normalizing' the balance sheet)... what happens next?

We think this sums the week up nicely...

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So having got that off our chests... here's what happened this week (in the markets)...6-day win streak for The Dow - best week since Dec 2016

S&P was perfectly pinned to close at 2500 for quad witch...

 

VIX was clubbed all the way down to 10.00...

 

But we note that the VIX term structure is notably steepening...

 

Small Caps were best on the week thanks to a short-squeeze at the open every day...

 

FANG Stocks opened notably lower but for the 5th day in a row were panic-bid immediately...

 

Financials outperformed on the week (with Utes down)...

 

But, notably Financials were firmly rejected at their 50DMA...

 

Treasury yields rose once again today but once again the long-end outperformed...

 

5s30s flattened dramatically (to its lowest since early July) despite the bearish tilt...this was the biggest flattening since December!

 

All of which makes perfect sense in light of financials huge week...

 

The Dollar Index slipped lower for the second day in a row but ended the week higher (best week in 5 months!)...

 

Of course, the big headlines today (and this week) were made by Cryptocurrencies.

Bitcoin crashed as much as 20% at one point today after news of all China bitcoin exchanges being closed by BTFDers came rushing in to save the day...

 

Nevertheless this was the worst week for Bitcoin since jan 2015 (but for some context - even after this most recent crash, BTC is still up 275% YTD)

 

Copper was worst among the major commodities (copper's worst 2-week drop soince December) and Crude was best (biggest week for WTI since July)

 

But Crude failed to hold $50 again... (RBOB biggest weekly loss since June)

 

Gold and Silver fell on the week... (worst weekly drop in 2 months)

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And one more thing... US 'Hard' Economic Data (i.e. excluding 'soft survey'-based data) collapsed to its weakest since March 2009 this week...

 

But it's probably nothing...

 

Bonus Chart: WTF-Panic-Buying from Korea's Plunge Protection Team after North Korea's missile launch!!

 

Comments

Raffie Gaius Frakkin'… Fri, 09/15/2017 - 17:01 Permalink

You can't reason with the PM impaired peeps. They hate to hear they are wrong again.However they will keep jawboning FUD. 10+ years from now they will still be saying the same thing "Any minute now gold/silver to the moon and cryptos will die."I said yesterday Gold will get pulled back and the small gain it made is gone like clock work.Cryptos are for the NOW and Gold/Silver for the distant future. 

In reply to by Gaius Frakkin'…

Gaius Frakkin'… Raffie Fri, 09/15/2017 - 18:07 Permalink

Gold has its uses especially if the world ends, but this idea everyone is going to be using it in the modern world is batshit crazy.It would have to be a gold-backed electronic or paper money, which means it would be subject to the same shenanigans that all centrally issued money succumbs to eventually.It would be the same shit, different century.

In reply to by Raffie

c2nnib2l Creepy_Azz_Crackaah (not verified) Fri, 09/15/2017 - 16:20 Permalink

trust  me this magical moment will come .... same as with the tulipsone day you're all going to realize the true value of Bitcoin Bitcoin have no value gold you can exchange for anything you want, so as FIAT but Bitcoin is traken straight out of Alice in wonderland and you can only exchange it for a FIAT or manna sucking sword in World of Warcraft people are buying they dont even know what they are buying.If every bank in the world is going BAN bitcoina and every country is going to ban trasnactions in TERRORIST currency what are you going to do with your cryptos ? it's a TRAP and trust me BANKSTERS don't like the competition 

In reply to by Creepy_Azz_Crackaah (not verified)

D.r. Funk Squid Viscous Fri, 09/15/2017 - 16:46 Permalink

What you guys need to start doing more is calling out the Deep-State (Extra Deep). Shadow gov, globalist order, nwo, Whatever. You continue saying "wtf" and "joke" and "fraud". Great but call them out, show them we're not stupid. Show them they can't defeat us (those of us that are Directly opposing them in our positions) because we know it's merely a game. A fucking game they don't want anyone, to beat them at 

In reply to by Squid Viscous

Chupacabra-322 D.r. Funk Fri, 09/15/2017 - 17:26 Permalink

To reiterate, it's absolutely, completely, open in your Face
Tyrannical Lawlessness.

The Criminal Fraud UNITED STATES, CORP. INC. & its affiliates at the Criminal Fraud STATE / LOCAL Municipalites BOND markets predicates that we are a Nation of Law not Men.

Hence, the "Full Faith & Credit" (Birth Certificate) of the American People (Consenting IMF Citizen Slave).

We've now incrementally evolved into a Nation of Men.
The Emperor is Stark Naked.

How soon before the Global Bond Markets expoldes is anyone's guess.

Full Faith the Collapse is eminent.

In reply to by D.r. Funk

ET (not verified) Fri, 09/15/2017 - 16:16 Permalink

It is 4:10 AM in Shanghai.When the Chinese wake up, the cryptos are going to tank.Deadline for the crypto exchanges to shutdown is Sept 30. You don't need cryptos to move money from Kentucky to Idaho.If you want to move large amounts of wealth across international borders, use fine art.Cryptos can be traced. The reasons for holding them no longer exist.They are like penny stocks. Prices are moving by painting the tape. You can be sure that the Chinese Communist Party wants these crypto exchanges closed before Oct 18 which is when the five-year plan is established and the President re-elected.

ET (not verified) Bay of Pigs Fri, 09/15/2017 - 16:23 Permalink

I never said that they weren't going to bounce on their way down to zero.They will and they are. This is how penny stocks behave. In my earlier posts I wrote that there will be a series of 20% crashes throughout the year.Look up my posts. I called the top for the cryptos and I'm calling the endgame.Crypto users will have extraordinary difficulty moving money out of their crypto accounts and into their own bank accounts.

In reply to by Bay of Pigs

Jambo Mambo Bill ET (not verified) Fri, 09/15/2017 - 16:49 Permalink

Correct ! Total nightmare transferring funds from cryptos to Bank accounts... too many ifs and donts... nothing guaranteed or secured... loads of horror stories... fear all round that some wierd news will tank the market... crowded market I would say, with lack of infrastructure and direction, without saying that most cryptos are useless, with no Immidiate or proper application but in a fantasy game... nothing backing it but wind... so yes, cryptos have peaked imo

In reply to by ET (not verified)

tmosley ET (not verified) Sat, 09/16/2017 - 08:54 Permalink

> I called the top for the cryptos and I'm calling the endgame.You "called it" after it had already happened. This is not impressive. You lied and told us that you sold the LTC you had never told us that you owned. You don't trash something that you own. Human brains don't work that way. I don't know why you idiot oldbugs feel the need to go to all this trouble to discredit something that you think is going to collapse. It's not like your words are going to make it collapse any faster, and they certainly aren't going to turn something that is working into something that doesn't. Looks like pure magical thinking to me. And highly emotional at that.

In reply to by ET (not verified)

ET tmosley Sat, 09/16/2017 - 11:20 Permalink

You lie again or your memory is failing you. I owned some crypto while calling the top and calling the crypto endgame. I also talk about the Federal Reserve Note and how it is a depreciating asset but I also hold it, too.Read the following posts that I wrote last month.Vote up!7Vote down!0>>>ET   tmosley Aug 12, 2017 11:35 AMI never get emotionally attached to a particular asset class.I own some crypto, but I am smart about what kind of asset this is.

Vote up!3Vote down!-4>>>tmosley   ET Aug 12, 2017 11:37 AMGood for you.

  >>>ET Aug 12, 2017 11:23 AMLitecoin is the next one to go on full afterburners.The rotation from cryptocurrencies to physical gold and silver will be PHENOMENAL.

Vote up!17Vote down!-4>>>Looney   ET Aug 12, 2017 11:23 AM   I don’t wanna pop anybody’s crypto-bubble, but this could be a legitimate concern. Stuxnet was designed to seek and attack very specific hardware and software used in Nuclear Plants. Is it possible that a similar virus could seek and destroy the hardware and software used for mining crypto-currencies? Delivering a self-propagating “Crypto-Stuxnet” would be much easier than the original Stuxnet – Nuclear Plants are air-gapped, but all crypto-mining devices are PERMANENTLY connected to the Internet. What could trigger such an attack? How about a raging financial crisis and a few Central Banks and Governments obsessed with killing the Cryptos? Looney 

Vote up!16Vote down!-20>>>ET   Looney Aug 12, 2017 11:28 AMCryptocurrencies are a type of pyramid scheme because there is no underlying asset for our purchase.We hope that there are ten greater fools in the future for every buyer today.Ride the bubble while it lasts and then get physical assets with the trade.

In reply to by tmosley

ET ET Sat, 09/16/2017 - 11:27 Permalink

tmosley, you are a con man. Zero credibility.>>>ET   ET Aug 12, 2017 12:37 PMTRADING WITH THE ENEMY ACT OF 1917With Trump announcing a trade war with China, guess what will happen to Bitcoin trading with China.

Vote up!1Vote down!-3>>>tmosley   ET Aug 12, 2017 12:42 PMTrade wars aren't real wars, you mook.

Vote up!2Vote down!-2>>>SILVERGEDDON   tmosley Aug 12, 2017 5:15 PMNOT AN ARGUMENT. 

In reply to by ET

D.r. Funk firewire888 Fri, 09/15/2017 - 16:49 Permalink

Told you guys. Haven't gotten much attention with my "today's programmed outcome" posts. I'd say it's a safe bet that 2500spy was programmed, today.haThat means before start of trading session, predetermined, inputted, and then executed, the ability to execute a desired number objective on, and by, close. Full. puppet. domination

In reply to by firewire888