MrRenev

The worse depression in history

Short
TVC:DJI   Dow Jones Industrial Average Index
What an interesting day. Q1 is closed (worse Q1 in american history by the way), and companies with more than 100M in AUM filed their 13F.
This is what Warren Buffet has been up to:
Sneaky little grandpa.


There may or there may not be a world war. See what happens when cheap low quality goods China tries to do research in high tech / advanced immunology?
Leave the advanced stuff to NA EU JP and stick to poor quality poor hygiene mass producing cheap stuff.
"The nuclear war will never happen don't worry". Hey, scientists have been experimenting and more importantly creating BLACK HOLES AND ANTIMATTER IN LABS.
See what happens when China touches at virus. Imagine what could happen if China thinks they can play with black holes and antimatter?
This would be a strong case for a nuclear war because every one would rather face a nuclear winter than having the entire galaxy go poof!

Either way, mass destruction or not, all I can see is red red red down down down.
But how red and how down? Yes.
We have seen recently Italy Spain France & Belgium have prohibited short selling for a few months and say they are prepared to go further, with a very serious frowning look (and some saliva drooling from their mouths).

What if the USA get the great idea of banning short selling? They did so in the past. Jesse Livermoore ended in the news back in the 30s and the public got very angry at him "evil short seller" (ye because price go up rich get richer and poor gets poorer is what the public wants). Now there are titles like "Disgusting Bill Ackman makes 2.5 billion shorting stocks while every one suffers and right after he told the government to shut down every thing", he apparently recently made 2.5 billion being long... He is just copy pasting 1929 I swear. And here I am, super broke, I won't be able to extract anything out of this...

If the USA pencil pushers ban short selling, and knowing these idiots they probably will. THERE WON'T BE A BOTTOM. It will be red and red and red.
Who will buy if no one short sold?

- Regular americans will be broke & starving & unemployed & know nothing about investing all they'll know is "invest = get burned" plus money is for rich people silly poor people
- Retired people can't make risky investments, with the whole needing whats left of their life savings to stay alive thing. Especially if they took big losses.
- The Federal Reserve will have a 800 trillion balance sheet so...
- Institutions will not have much funds with their clients withdrawing, and they get raged at if they have a red quarter so there's not much they can do
- Obviously all the billionaire company owners (Bill Gates, Facebook, Google, and so on) can't buy...
- Foreign nations have their own problems now (In particular, after being a net donor to EU for decades, Italy for the 1rst time asked for help got a NEIN, now they're SO PISSED)
- Wealthy Americans not included will be down 50% from their holdings + 20% from populists confiscating to help "honest workers", they will not want to risk what little is left
- Big banks enjoying their liquidity crisis
- Big US companies have enjoyed tax cuts which means they brought all the oversea money home to buy stocks & inflate the bubble, nothing is left
- There are VERY FEW professional investors. People laugh at them. In this troll debt bubble people are either chasing big gains or "just buying the index and never selling for retirement". I can think of Warren Buffet, Charlie Munger, Phil Town (he wrote books and has a site and communicates on social networks), the Rothschilds, the Rockefellers, and emm that's it other ones I am thinking of are in gold. I know there's a few but that's it just a few, most "investors" today are fund managers and their clients demand quaterly results.

And also in the 1930s people were responsible and had savings. Now everyone owes money to everyone, every one is in debt, there is no money to save anyway, the freaking COUNTRY CURRENCY ITSELF IS LITERALLY DEBT.

The genius US government will probably restrict leverage and strongly limit short term traders, this is unbelievably idiotic I know, but seriously it probably will happen and they will pat themselves on the back "ah this will be a great help to protect people" so don't expect short term traders & gamblers to buy.

SO, other than bears and a few Warren Buffets. WHO potentially would be a buyer? Only bears. Please, if you can think of someone let me know in the comments.
While the bubbles all deflate, while people deal with their debt, short sellers add up, and when the stock market is down 70 to 90 percent they are going to close their shorts. Because when you are up 60% or more why continue? It becomes diminishing returns. So first the bears in deep profit 60-90% close, then those in moderate profit (trailing a stop or not) will close too not worth giving up everything, late bears will breakeven, and very late bears get liquidated.



Without short sellers to provide liquidity (you know what I mean) when the stock market will be deep in a downtrend, as well as push the price explosively up stronger than all the previous sucker rallies to help everyone regain confidence, how will the stock market recover? Same as in 1720-1820 over a century?

If the FED prints infinite money there won't be a downtrend and this won't matter in the same way, but then the problems will be much worse (NAZI Germany & Zimbabwe say hi).

These 1rst degree simple solution people, that can't comprehend absraction, that come up with ideas a 5 yo would have, they're so going to come up with the brilliant idea of restricting short selling, the only hope that was left (since every one has debt and everything is a bubble and they'll be no one else left to buy).
These simpletons "selling make price go down, selling bad, ban it". They are unable to comprehend anything slightly subtle. Absolute inept clowns. "Ooga booga you can't pull yourself by the bootstraps", "Modern Monetary Theory is a wonderful invention", "If we printed 1 million dollar notes for every person every one would be rich", "If there were no borders there would be no wars", "Bloomberg could use his 500 million to give 1 million to each american IQ doesn't mean anything", "Uber has taken in $12 billion in investment and had revenues of $1.7 billion in Q4 of 2016. Yet their drivers only take home $3.37 an hour. Does that sound right to you? We must update our laws to stand up for workers in an increasingly exploitative tech-based economy." and the same person (AOC ofc) in the same twitter thread said "Uber runs at a deliberate loss to monopolize market share" sdhjfsdhjfsdhjbfsdhjbfsdyihjbdfsyuihjb.
These geniuses are 100% going to prohibit short selling.

Ah, wonderful, Argentina is defaulting again. All the globalist organisations are calling for poor countries debt payments to be dropped.

The best therapy is to let it all out:

DOWN!
DOWN!
DOWN!

EVERYTHING WILL CRASH!
RED AS FAR AS THE EYE CAN SEE!
ALL CANDLES WILL BE RED!
BULLS WILL DIE!
THERE WILL NEVER BE ANOTHER BULLRUN IN OUR LIFETIMES!
ALL BULLS WILL CEASE TO EXIST! THEY WILL BECOME EXTINCT!
ALL HOPE WILL BE GONE!
NO ONE WILL MAKE MONEY EXCEPT FOR BEARS!


www.bloomberg.com/ne...roversial-tweetstorm

Prepare well and stay safe.

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