Uh-oh

I didn't expect this to look too good and it doesn't. I know you can't base short-term trades off of this information, but I'm wondering how a bull who is accumulating for a big advance in the stock market puts a positive spin on it? (From Caseyresearch.com)

Kimston

WOW....and just think...it took only a few sub-prime loans in US to TRIGGER the avalanche! Note that a sudden bursting of a balloon can only happens if there is a over-inflated balloon to begin with. At least the US was over-inflated with all kinds of debt. Now Newtons 3rd law will go back in action again! "For every action there is an equal and opposite reaction". Expect a sudden reburst of economic activity, with the same speed at which it deflated. We are in the midst of 4th LONG TERM buying opportunity in 75 years.

WOW....and just think...it took only a few sub-prime loans in US to TRIGGER
the avalanche!

Note that a sudden bursting of a balloon can only happens if there is a over-inflated
balloon to begin with. At least the US was over-inflated with all kinds of debt.

Now Newtons 3rd law will go back in action again! "For every action there is an equal
and opposite reaction". Expect a sudden reburst of economic activity, with the
same speed at which it deflated.

We are in the midst of 4th LONG TERM buying opportunity in 75 years.

Its really pretty simple.

Had the Fed not inflated like a madman, and brought interest rates so low back after 911, a sequel to the 98 asian crisis where the same was previously done, the chart might have looked something like this....

and here's where global stocks are going before its all over.....

Edited by nimblebear, 15 February 2009 - 10:56 PM.