Sunday, February 23, 2020

Point of recognition? 3100 Monday?


Did Friday opex only manage to keep the lid on things, to get through the day?




Bearish channel, 5 waves down, if Friday was all we could manage from a very weak wave 2, then we're in for a bit of a shock.


S&P 500 5 waves down, ending mid-channel, extremely bearish

If so, OK, then we bottom Tuesday and regain most of these losses by EOW.

6 comments:

christiangustafson said...

It's Sunday night -- do you know where your /ES future is?

umdengineer said...

So the Coronavirus REALLY is the black swan.

Biggest Dow point drop in history.

Now the Fed will energize the printing press (or PC).

Powell says to himself,"Now what is that keyboard shortcut Jessica mentioned... oh yeah CTRL-P!"

Who would have a thought a virus would take on the Fed battleship.

But that is the nature of black swans.

umdengineer said...

Follow up to my post. Serious question... how do you press CTRL-P on a keyboard that has Coronavirus all over it?

The answer is you don't.

We're seeing schools close now. China shut down their stock exchange for a while, but the Emperor says take a great leap forward so they're back online.

Could we see the same thing? Jim Rickard's Ice 9 for the markets?

I don't think the government can force people to work like they do in China, and what good is shorting if you can't actually cover and take the money out of your brokerage.

Cue a bunch of news stories of vaccines being available in the next few months. See how long that lasts before people start to panic.

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