Seeking Alpha

Playing the Ponzi's  Instablog

Playing the Ponzi
Send Message
Why “Playing the Ponzi”? I view the entire monetary and financial system as something of a Ponzi scheme. Starting with currency that is created as debt, and running straight through a global economic model that is based on infinite growth in a finite world. This won’t end well. I’d go a step... More
My blog:
Playing the Ponzi
View Playing the Ponzi's Instablogs on:
  • Time To Short Herbalife (HLF)?

    I have long been interested in shorting Herbalife (NYSE:HLF) for fundamental reasons. But I don't like to trade fundamentals, and so I was quite pleased to see the chart of HLF scream short this week. The stock spiked over 10% yesterday before selling off in the afternoon. The selling has continued early today. We'll see how the rest of the week plays out, but right now it looks like a giant "bearish wick" (both daily (yesterday) and weekly) at the 200 day moving average and downward resistance trendline. Seems like a good spot to short.

    (click to enlarge)

    Tags: HLF
    Mar 24 12:03 PM | Link | Comment!
  • Rally Caps Back On?

    It looks like it is time to bounce again. This is the adjusted rising wedge in SPY. This current bounce appears to be taking place where the adjusted support looks to be. I am tired of this game.. but it appears the S&P is ready to cycle through another rally mode. Global economic data looks terrible to me, but the stock market(s) disconnected from economic data a few year ago in my opinion. So rallying despite bad data is nothing new. I have entered some long positions, but am mostly a bemused bystander by now as I believe we are well into bubble territory.

    (click to enlarge)

    Tags: SPY, SSO
    Mar 16 11:53 AM | Link | Comment!
  • Market Chart Updates

    I haven't posted in a while as, despite all of the volatility, nothing has changed in a sense. The U.S. indexes have been unable to push decisively higher and appear to be continuing the topping behavior witnessed over the last year. The S&P (NYSEARCA:SPY) is marginally below support of the multi-year rising wedge I've been following, but there has not been a decisive breakdown.

    (click to enlarge)

    Small caps (NYSEARCA:IWM) have been interesting as they appears to be capped on the underside of a rising wedge.

    (click to enlarge)

    But the most interesting action appears to be in commodities and foreign markets. First, commodities. In general, they have been eviscerated. The commodities basket ETF, DBC, makes the point with a picture:

    (click to enlarge)

    Copper (NYSEARCA:JJC), which I first shorted back in 2013, has finally broken down good and proper.

    (click to enlarge)

    Of course, the plunge in oil makes copper's slide look like a tiny divot. I don't have a strong feeling about oil. Natural gas (NYSEARCA:UNG), however, has the makings of a long term inverted hand-and-shoulders pattern (this chart is Nat Gas futures, not UNG)... Very interesting.

    (click to enlarge)

    There are also interesting patterns to be found in many of the foreign markets that have been battered in recent months.

    First, have a looked at the emerging markets basket ETF, EEM:

    (click to enlarge)

    Brazil (NYSEARCA:EWZ) also appears to be at support.

    (click to enlarge)

    And China (NYSEARCA:FXI) looks to have broken out, pulled back to support and then surged to a new high. A pretty decent looking pattern if you are looking for a proven breakout.

    (click to enlarge)

    Good luck trading all!

    Tags: SPY, SSO, SDS, IWM, RWM, EEM, EWZ, JJC, DBC, UNG, FXI
    Jan 22 12:49 AM | Link | Comment!
Full index of posts »
Latest Followers

StockTalks

More »

Latest Comments


Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.