Today’s Drama…
…will be a potential attempt by the S&P 500 to regain the October 2002 intra-day low of 768.67. (I predicted that we would fall through that level on October 15th in 768.67 – Coming Soon to a Screen Near You – yet another one of my fulfilled prophecies.)
Failure to recapture 768.67 would likely lead to despair amongst investors, and more aggressive shorting by technical traders.
A lot of bulls got trapped up around 820 on Thursday and I’m sure that they are just itching to get out even, so that will be a strong resistance area if the market can get that high.
Don’t Forget Iran
We are now in the “window of opportunity” period where many analysts have speculated that Israel would strike Iran: After the election and before the Democrats take over in January. And now Iran has enough uranium for a bomb. Shorting oil seems easy now, but it isn’t without risks.
Paulson still doesn’t get it. 10 or 50:1 leverage is not a business model that will survive a global credit crunch or recession. These banks need government cheese throughout to survive. Can someone please send him the memo? Please cc; Geithner.
….
Dear Hanky, Timmy and Benny. If you put many cards on top of each other in the house of cards, and the wind starts to slowly pick up…
slowly pick up? the wind is fierce here. something must be up…
Hurricane Hank, that’s what’s up. And next year will we get Tornado Tim? Ahhh, the winds of “change.” We shall see.
LMAO i just heard about hurricane Hank. I guess it makes perfect sense now.