I see James Bianco packed it in and started buying . He missed the whole rally . He admitted he can no longer fight Powell . When almost all are bullish I’m wondering if we get a big drop somewhere .The pressure for fund managers big to chase. Tudor Jones and Drunkenmiller were humbled.
I'm long a single micro lot on the MNQ. The bears are safe now. Watch for a 40% drop from now until mid September. Maybe 50%. Depends on how many people keep dying from the COVID.
Wow! Guess he'll be wrong for the coming ~30% drop too. Brutal. Finally sleeping at night, feeling good he switched his position, and meanwhile the market starts it turn downward....it's gonna hurt.
Why would the market drop 30% from today’s close? Everyone knows the market is overvalued. Everyone knows Covid isn’t going away. Everyone knows job numbers are going to be brutal for a long time. However we are 3 months closer to a vaccine, treasury is paying people more to sit at home and trade on Robinhood than if they actually had a job, and the Fed has created trillions to keep the house of cards from falling. Why fight the Fed’s printing press?
In after hrs the last 12 hrs we've had at least 5 10-20 pt es selloffs and everyone was bought right back up . Just much easier to buy the dips than trying to short runs . If you listen to James Bianci he's correct. People just don't believe they can lose and the fed won't let them lose thus speculative and dip buying has gone goes wild. The only way that thought process changes is if we get big downside so people have real loses they must take .Until that happens its party on
and the above scenario is when the rug is usually pulled from under us. If numbers get ugly the powers that be will drop the market in a heart beat forcing the FED to announce yet another program to help out. Walls Street has the FED by the cojones.