China told citizens to buy stocks, boosting market — ‘We have the Fed...China has its state media’ PUBLISHED MON, JUL 6 202011:27 AM EDTUPDATED MON, JUL 6 20204:48 PM EDT https://www.cnbc.com/2020/07/06/chi...e-bull-markets-china-has-its-state-media.html
%% Exactly; parabolic stop + reverse is still a buy on some tech etfs. I like payday about every week or so also.................................................................................................................
This thread can relate to this one I created about stocks that only know one direction https://www.elitetrader.com/et/thre...know-one-direction.346598/page-2#post-5135223
This is a very dangerous market akin to playing musical chairs. When it drops, and it will, it will be fast and furious. Parabolic moves never last and always end in sharp downturns. Nimble traders could do ok but many traders just get stopped out either long or short.
That is absolutely true but ask anyone who owns any of these high flying parabolic stocks and they would totally disagree. They only believe these stocks move in only 1 direction forever.
Well, GDP will only increase if demand increases. No one will produce what they can't sell, not for long anyway. The Trillions spent into the economy compensate for the drop in money velocity that has occurred with shelter in place and closing of consumer-centric businesses. If we spent that much money into a full employment economy, I would expect inflation, unless the CB mops up excess money into bonds at a sufficient rate. The CB seems, so far, quite adept at this. How long the new, outside money circulates before it gets mopped up is important, and that is affected by the route the bulk of new, outside money takes in getting to it's destination in Treasuries. We probably should be thinking about what the ultimate result of an ever increasing amount of Treasuries and the rate of their increase will be.
For a supposed 'communist' country they sure bow down to the big money or the fake fraud financial markets. I guess the difference isn't much different. the gov't wants the market to go up like in the US. you think the market would be here without gov't or the FED buying stock or ETF or private property. it's not 'market based' economy in China. The gov't can crash the market if wants to by raising rates to 5% instead 0% The FED is lending money below 'market' rates. The 'market rates for money is at least 4% not 0% that is why the stock market is where it is irrational. well it's is rational and the fundamental is the fed rates are low. and fed is buying the market.--that is the fundamental for the market keep going up. The gov't in China is told to buy the stocks and it's gov't policy to buy private equity in the market. But with all market manipulation. what the gov't pulls the rug. you get crash like you've never seen before. like in the march of this year. you would have to halt the market as there is no bid. A lot of the supposedly communist members are all corrupted by 'money' by American financial companies who want in the gambling, drugs, stock swindling, and religious groups islam, christain BS groups who want in the 'market' and also religious cults like the falun gong groups.and the anti-ccp party groups in Hong Kong and Taiwan and also American anti-commnunist groups. stocks are mostly ponzi schemes and majority scam stocks. as for trading, these algos and the owneres of the exchange rigg the market. only 1% is investable. and in some exchanges 99% is scam stocks as for forex, futures, options. bucket shop BS.
Just received my copy of "soft currency economics II" . Hopefully I don't have to reread the same paragraphs 100 times to understand...lol.
Really? Two points on that... A.) He owes me his entire bank account and all his possessions, because he gave his personal guarantee back in Feb/March that you can go long in the market and you would not lose. B.) He certainly seems to have changed his tune. Now that the markets have been basically going up since then, he is now calling for a dangerous drop. *rubs chin thoughtfully*