The Terrible Joyride

This is surreal. Bloomberg is running a headline this morning that I was thinking about last night as I was falling asleep.

Glee Gets as Little Respect as Gloom With Fed Driving Stocks

I don't even need to read the article. I already "wrote" it.

The point is when the Fed is the only game in town, no one is right. Everything is wrong, meaning that bears looking for the perfect short signal will never get it, and bulls looking for a fundamental recovery won't find it -- not that I think they care.

As long as the Fed is providing $1 trillion of liquidity per year, nothing matters. Bulls and bears are simply fighting over the steering wheel of a stolen car.

The Fed stole the car.

And until the Fed drives the car into a wall or gets pulled over by the cops or someone else steals it from them, we're all going on a terrible joyride.

I am only now realizing that sentiment during times like this is futile. There will always be one bearish headline for every bullish one in this environment.

This morning Marketwatch says, "Resistance is futile for the bears."

As an example, Hedge fund manager Hugh Hendry capitulated. Hugh Hendry, one of the only ones I thought truly understood the farce of it all. Now he's going to ride the trend.

If you've ever been in a car with a drunk driver who's driving like nutcase and find yourself saying Oh my god, I can't believe this is happening even though it is happening, that's probably how Hendry feels.

I will simply keep doing what I've been doing: playing high and low extremes using options.

Targets? Ha. 1815 is the next Fib level, but anything can happen here because it's so stretched. Using 1793.71 as a stop for now.