SPY - Did We Bottom, Or Is Manipulation Coming?
In my preceeding posts, I'm actually "bullish" on equities in the fourth quarter.
SPX ES - Welcome To The Fourth Quarter Rodeo
Nasdaq Futes - You Wanted a Dip For That 'Santa Rally,' Aye?
And while I think this price action, coming on the back of news that the US Treasury will "only" issue $10 billion more worth of bonds this quarter (compared to like $160 billion last quarter), indicates that not only are we bullish, but going to take out the all time highs before year end...
I have reservations on this SPECIFIC price action being "The Bottom".
Before we go further, I will use the early space for those with low attention spans to warn you about the situation in Mainland China.
The Chinese Communist Party is the scourge of humanity that seeks to use all beings to destroy all beings. Xi Jinping is its head, and the Party will fall. When you kill a dragon, you kill it by chopping of its head.
But before you chop off its head, you often cripple it by chopping its tail. Former Xi Premier and right hand man Li Keqiang was killed by "a heart attack" recently, which is almost certainly code for the "Wuhan Pneumonia Pandemic."
The Party's 24-year persecution, and organ harvesting genocide, against Falun Dafa's 100 million practitioners is a sin that 100.00% guarantees the Party's destruction.
And that means it guarantees Xi's destruction, so long as he doesn't drop the CCP Gorbachev-style in time.
It does not look like Xi is that intelligent of a man to do that.
And so whatever bullish nonsense is arranged by Wall Street, who frequently sleeps with and transfuses blood to the Jiang Faction of the CCP, who are the architects of Falun Gong's persecution and the real evil force behind the Party and "China," to make sure that Communism globally can stay alive until the ruthless end, is subject to abject, merciless, brutal, and sudden truncation.
Meaning any rally can be annihilated by international events that are beyond the control of the so-called "controllers" at any time, for we fundamentally exist in a Cosmos that is inherently Divine.
There's some flaws on the SPY ETF, which is meaningful, because as I say many times, life revolves around banks and funds selling options and making sure they expire worthless.
When we look at the monthly:
October took out the June low, as I predicted earlier, but came up like a dollar shy of entering into the April wick.
Moreover, when we look at the weekly:
Which shows us more clearly the April-May double bottom is just 1%~ lower than the October low, and the $400 psych level is just 2% lower.
With this kind of a squeeze happening only 3 trading days into November's candle, and failing to take the high, we're primed to set up for an "outside bar" November that takes out BOTH the low AND the high of October.
But what this would mean is we're about to dump below the October low, where the real buying opportunity is.
But two problems with the theory are:
1) There's no news drivers next week except for Jerome Powell talking on Thursday.
2) The bull thesis has to complete by December 31 and we're running out of time
But that being said, when we had the October bottom last year, we had a 3-day 6% rally to open October before it turned around and took out the low and then rallied.
And when we had the COVID bottom because the Fed slashed rates to zero and started buying equities, the market had a 10% rally over the course of a few weeks and gave almost all of it back before setting the biggest highs of all time.
So this kind of manipulative behaviour is consistent with the market makers.
How to trade it? Well, if it doesn't go down next week then just blindly long anywhere and so long as you aren't buying calls with 0 or 3 days to expiry, you should be okay.
If it does go down, buy near the October low and under the October low.
The problem is no short setup has manifested as of Friday close, and so we can only sit on the sidelines and look for longs. Whoever was bigly long from Monday or last week should really have taken significant money off the table, cashing in and realizing those gains, this afternoon.
Don't forget the Dollar Index stopped just short of $108 and that's a big sign of coming manipulation and that we're too early.
This is how algorithms are programmed.
Good luck.
SPX ES - Welcome To The Fourth Quarter Rodeo
Nasdaq Futes - You Wanted a Dip For That 'Santa Rally,' Aye?
And while I think this price action, coming on the back of news that the US Treasury will "only" issue $10 billion more worth of bonds this quarter (compared to like $160 billion last quarter), indicates that not only are we bullish, but going to take out the all time highs before year end...
I have reservations on this SPECIFIC price action being "The Bottom".
Before we go further, I will use the early space for those with low attention spans to warn you about the situation in Mainland China.
The Chinese Communist Party is the scourge of humanity that seeks to use all beings to destroy all beings. Xi Jinping is its head, and the Party will fall. When you kill a dragon, you kill it by chopping of its head.
But before you chop off its head, you often cripple it by chopping its tail. Former Xi Premier and right hand man Li Keqiang was killed by "a heart attack" recently, which is almost certainly code for the "Wuhan Pneumonia Pandemic."
The Party's 24-year persecution, and organ harvesting genocide, against Falun Dafa's 100 million practitioners is a sin that 100.00% guarantees the Party's destruction.
And that means it guarantees Xi's destruction, so long as he doesn't drop the CCP Gorbachev-style in time.
It does not look like Xi is that intelligent of a man to do that.
And so whatever bullish nonsense is arranged by Wall Street, who frequently sleeps with and transfuses blood to the Jiang Faction of the CCP, who are the architects of Falun Gong's persecution and the real evil force behind the Party and "China," to make sure that Communism globally can stay alive until the ruthless end, is subject to abject, merciless, brutal, and sudden truncation.
Meaning any rally can be annihilated by international events that are beyond the control of the so-called "controllers" at any time, for we fundamentally exist in a Cosmos that is inherently Divine.
There's some flaws on the SPY ETF, which is meaningful, because as I say many times, life revolves around banks and funds selling options and making sure they expire worthless.
When we look at the monthly:
October took out the June low, as I predicted earlier, but came up like a dollar shy of entering into the April wick.
Moreover, when we look at the weekly:
Which shows us more clearly the April-May double bottom is just 1%~ lower than the October low, and the $400 psych level is just 2% lower.
With this kind of a squeeze happening only 3 trading days into November's candle, and failing to take the high, we're primed to set up for an "outside bar" November that takes out BOTH the low AND the high of October.
But what this would mean is we're about to dump below the October low, where the real buying opportunity is.
But two problems with the theory are:
1) There's no news drivers next week except for Jerome Powell talking on Thursday.
2) The bull thesis has to complete by December 31 and we're running out of time
But that being said, when we had the October bottom last year, we had a 3-day 6% rally to open October before it turned around and took out the low and then rallied.
And when we had the COVID bottom because the Fed slashed rates to zero and started buying equities, the market had a 10% rally over the course of a few weeks and gave almost all of it back before setting the biggest highs of all time.
So this kind of manipulative behaviour is consistent with the market makers.
How to trade it? Well, if it doesn't go down next week then just blindly long anywhere and so long as you aren't buying calls with 0 or 3 days to expiry, you should be okay.
If it does go down, buy near the October low and under the October low.
The problem is no short setup has manifested as of Friday close, and so we can only sit on the sidelines and look for longs. Whoever was bigly long from Monday or last week should really have taken significant money off the table, cashing in and realizing those gains, this afternoon.
Don't forget the Dollar Index stopped just short of $108 and that's a big sign of coming manipulation and that we're too early.
This is how algorithms are programmed.
Good luck.
Comment:
60 cents away from taking the October high.
If there's a reversal here, it definitely becomes a target later.
If there's a reversal here, it definitely becomes a target later.
But in terms of a reversal back to the lows, I'm not sure what news driver is supposed to do it.
Jerome Powell talking on Thursday hasn't done much besides make things go up in recent months.