Greece, North Korea torpedoes, Iran war games, Deficits, Inflation, $85 oil, financial reform, Apple market cap, GM, Chanos, Goldman Sachs, etc. Nothing can stop it. And they are trying really hard. DJI down only 200 today. I have never seen anything like it.
Had a vision. Stock market gains an unheard of 40% this year. QQQ retests bubble high price within 500 sessions. Apple becomes the largest company in the S&P500. Bubble IPO like Twitter or Facebook offered, then double in a year. AOL reemerges as social network and offers 30 day free trials.
it a dead cat bouncing hard on short covering in an iliquidd market. it's on life support with fed money. when fed money run out.. rule #4 never short a dull market. this is a dull market. they don't allow shorting in penny stocks for retail only market makers can NAKED short penny stocks for a reason. the markets are as illiquid as ten cent penny stocks in the pinksheet market.
Greece, Ireland, PIGS, China, Japan, Yuan too low, Yen too high, 0% interest rate, bank reserves, Iran, BP record oil spill, high unemployment, Obama, hyperinflation, deflation, too much leverage, deleverage, housing meltdown, bank meltdown, China housing bubble, Hindenberg omen, Mark Hurd, Nth bank failure this year, tax increases on rich, social security, pension crisis, soaring healthcare cost, mutual fund outflow, dryship index, bond bubble, deficits, outsourcing, protests, Iraq, Iran, North Korea, nukes, Bernanke, Greenspan, Hoenig, peak oil, $75 oil, $1300 gold, locusts, famine, etc. They are trying really hard and nothing can stop this bull market.
This video is great: http://www.youtube.com/watch?v=0f6lTPPS1Es It's about this very subject, but I'm not sure if you'll catch the sarcasm or not. That's not really a chart of the SandPs. It's a different chart, of a different time.
I believe the sarcasm from the video is that that is not a chart of the SandPs, it's a chart from the Dow in 1929 to 1930. It's scary how much alike the charts actually are, just before the big crash came.
in 2000 fed greenspan said the stock market was over exuberance. i've never seen the FED that openly admit in the public that they are involved in the financial markets.. normally the FED is ver discrete in their involvment in the free market. in 1982, interes rates was 15% okay now interest rate is 1% this is not nominal inflation it's real inflation..wages are flat and people's income are less incomes have fallen but prices rise or same...people are poorer. demand has fallen...so no jobs..rise in demand =rise in jobs. companies won't hire if their is no demand for their product or services. prices need to come down for increase in demand...home sellers and market equities don't like that but welcome to FREE MARKETS. if these people want to sell their homes,,lower their price lose money if you have to sell just sell it. market==price discovery. the gov't isn't in the business of determining market price. the drop in interest rate in 1985 was the catalyst...now the fed is out of bullets..interest rates cannot go to zero and have this kind of inflation. cash holders are just get ripped off..it's transferring wealth from fix income investors and giving it to leveraged market speculators or eqjuity investor...net wealth creation is zero. or yeah trading is zero sum game.