4 replies to this topic

[humble1]

and, fwiw, i do not believe we will get either a crash or a crashette. my guess: to be a big winner, this is a position/swing trade market. of course, shorter term trades are there for fun and passing the time, but the daily and weekly and monthly chart, gann-style, should be the drivers. a reflex rally here, for a few days or even weeks, a choppy up, takes all the pressure off of the crisis callers and teams. and, as short term as many are now, even a sideways wobble, going into this fed meeting, mutes the cramer type sound-and-fury idiots. p.s. how quickly companies implode: american home is now headed for bankruptcy, according to news reports. p.p.s. we need someone here who monitors closely the commercial paper and corporate bond markets; we will NOT hear current, important news from the media. i am thinking, in part, of GE and its huge need for rollover capital for its financing operations. remember: GE has made a living out of its tripA credit rating while lending below prime. now, if the agencies panic and EVEN THINK ABOUT dropping GE - ohhhhh, we have BIG problem.

Edited by humble1, 06 August 2007 - 05:32 AM.

[redfoliage2]

Believe me, the PPT won't agree. It's proxies at the Wall street must have been working hard since Sunday night bidding index furues.

Edited by redfoliage2, 06 August 2007 - 05:54 AM.

[hedgehawk]

Is there a way to confirm that the futures are being propped up by PPT by unusual volume, spread analysis or price patterns?

[redfoliage2]

Is there a way to confirm that the futures are being propped up by PPT by unusual volume, spread analysis or price patterns?

"......The reason the PPT is secret is because it has been designed to intervene into the stock market to shore it up whenever it is in danger of crashing, and there is no real clear cut authority for the Federal Government's bureaucracies to do this. The Fed and the Treasury Department are clearly not authorized to intervene into the stock market to buy and sell equities. But the Exchange Stablization Fund (ESF), which manipulates our dollar in the Forex market, may be authorized to buy and sell equities on the NYSE. James Sinclair maintains that they are. Though this is not overly clear in the wording of its legal statutes. Since the authority is not clear on this issue, it is my belief that the PPT was designed as a separate and secretive organization by ESF and Treasury bureaucrats to purchase S&P futures to try and "stablize" the stock market whenever it begins to drop severely........."

http://www.afr.org/H...erg/090103.html

http://www.reagan.ut...988/031888d.htm

Edited by redfoliage2, 06 August 2007 - 07:17 AM.

[humble1]

interesting post: that may or may not be significant or in play. and if it IS in play, it makes things worse and supports my scenario of no crash or crashette. however, i do not really believe there is a government capability to buy enough futures or currencies or bonds to matter much, unless you changed the whole charter of the fed. the stabilization fund is what - $50 billion ? we churn and chop and wobble for a week or two (or even a month or two) and then head lower, imho. we might scoot down to that spx1370, and even break it before a real sucker rally evolves. whatever: THE BULL IS OVER !!!!!!!