it doesnt matter even if they're wrong, the government will buy their wrong trades and they can give themselves even bigger bonusses you gotta admit, it's a brilliant business model
I am not talking about your grandmother or any other ordinary Joe who has no clue. Given that this is a trading site, I am talking about traders, or at the very least, people with financial/economic education. If this fits your description, and you are not/have not been long for at least a portion of this rally, then yes, you are getting slaughtered! 0% gain in this market is pathetic.
http://www.nakedcapitalism.com/2009...might-be-due-to-big-government-subisdies.html most investment professionals I know regard the latter phases of the stock market rally with great suspicion (too much end of day tape painting, too many heavy handed short squeezes, continued thin volume, and suspicious moves on indexes when they near levels that are significant to technicians). That of course begs the question, âIf the market is being manipulated, how and by whom?â When I worked with the Japanese, it was widely known that the Japanese securities firms manipulated the markets and the politicians were tipped off early and bought stocks the brokers were about to ramp (look, if I as a mere gaijin heard about it, it was hardly secret). Yet when it came out in the Japanese media years later, it was treated as a huge scandal. I was and am perplexed that a widely-known practice could be treated as such a remarkable event. I regard much of this rally as a similar open secret, except how this is being carried out is a mystery (is this mere trader opportunism and brute force that looks like collusion, with the perps secure in the knowledge that the government wonât act against rule violations, since the outcome serves their interests, or something more deliberate?)
I think this is key. Imo, most of the fundemental data points to inflation, but we are sure not seeing it. If we do get real deflation, that would scare the bejeebers out of the market for sure. Inflation would be seen as a more normal course for the market. I think most people, myself included, expect inflation going forward.
------------------------------------ Take heed...... "Mr. Rothâs inflation fears are one good example. A rock-ribbed Republican, he canât understand why Rooseveltâs New Deal programs â and the spending they require â donât bring with them the kind of scary inflation that had occurred in Germany after World War I. He keeps waiting for it, predicting it, ever fearful that it will make an awful economic situation even worse. He is baffled that inflation remained subdued." The Great Depression: A Diary" http://www.elitetrader.com/vb/showthread.php?threadid=179595
The TARP agreement says the money given to the financial biz "is not reviewable by any court of law"! Everyone on this board sees the bullshit (I don't agree with everything the gov. is doing), but then they draw entirely wrong conclusion! The whole country has to support the financial industry. The gov. has been instituting programs like the TARP, and they will DO IT AGAIN, or ANY TIME THEY FEEL LIKE IT. Traders will not stand in the way of Warren Buffett, but they will go short against the largest economic entity in the history of mankind. And they KNOW that very same entity can, and will, bend, or break, any rule to further the bullish case. That is the most important point of all! Yes, the fix is in. ON THE LONG SIDE.
See this is smart post. Now if we know its manipulated, then its not random. If its not random, can we use TA to determine when to get long during a manipulated day, its seems we can. So knowing its manipulation leads to determining how we can see it, leads to profit. Of course, there are some bears shorting the market, and some of them are getting stopped out or getting margin calls, they are the ones that may be correct, the market is over bought, but they don't understand, that Goldman can keep it going higher longer than these bears can stay solvent.