Tuesday, December 9, 2008

The word revolution comes to mind.

I admit I was deceived today. I think we will crash soon. I just cant guarantee it before the xmas but it is a possibility.

I once again think 740 on SPX will not hold whenever it is tested. From treasuries, to the sentiment among the suckers to the spreads, everything confirms it. As soon as we are done going up on holiday fumes, inevitable will be on your screens. Unemployment and GDP figures are non-event imo.

Now listen to this, you will first hear it from me probably: Watch UK markets. It is the biggest time bomb that is impending to implode in unprecedented proportions. Their real estate and banking sector are where we were in the second half of 2007. I do not know how it will hit US financial markets but it is coming big time.

I believe one can now fine-tune the timing of a few major blow up with confidence that I was expecting for sometime now.... the coming sell off will take Citi and several big banks down in US and Gov will be unable to help.
Citi was trading near $3 two weeks ago , it tested $8+ today or yesterday. It is now going under $5 in my opinion and forever. Also Morgan Stanley, Merill and Bank of America may be on the line. I expect SPX to stabilize around 400-500 sometime in Jan 09.

All confirmed by the trend structures on LT charts.
blog comments powered by Disqus