Another possible reason: the Fed.
First, WSJ's Hilsenrath was out with a Fed piece this weekend telegraphing "more clarity" is possible during this Wednesday's Fed meeting.
Then Liesman hinted on CNBC yesterday that the Fed may "walk back" raising rates this year.
Meanwhile, @george_chen, managing editor of South China Morning Post's international edition reported that an Official Xinhua newspaper editorial declared that "Chinese Gov will not let stock market crash like "broken cliff" happen any more!"
With the Dow down over 700 points from its recent highs, take a look at my favorite timestamp from the peak of July 20th.
One would think respected traders would be more humble. Maybe they're respected because they've been right. But when hubris develops, it's time to check one's emotions.
Divergence is an important diagnostic tool. Have never seen a market reverse trend without it.
To put people down for mentioning it is to simply put people down.
Social media will likely continue to become anti-social.
Hopefully the timing of showing this person's unfortunate timing means that the decline is nearly over. But if it isn't, it had better stop before 1980.90.
Because what happened in the Dow is a possible red flag.
And the amount and type of divergence that is present should not be messed with.
Now, off to Lake Winnipesaukee, NH . . .
No comments:
Post a Comment