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  • a few "signals" that the S&P500 is about to "decline!" ...AND THE REST OF THE MKTS, TOO!!! 0 comments
    Apr 17, 2011 5:25 PM | about stocks: SPY
    1.  first two weeks of being lower...THIS YEAR FOR THE S&P500...

    2.  Vix goes below 16... cboe writer indicates "this is a mkt top signal" just before a sharp decline....

    3.  S&P near "all time high" not much ceiling left, if any... Time to take profits??? ...and get out before a potential sell-off... to me, why stay in a "risky" position "without much upward potential" when "many signals" showing a potential sharp correction...

    4.  QE-2 (quantitative easing) wherein the Fed has largely "indirectly funded" the rise in the stock-mkt since Mar09... you didn't think THESE COMPANIES WERE REALLY DOING SO GREAT, DID YOU!  (they merely downsized - they weren't selling and growing with the declining consumer)...just riding the Fed's "pump up in the mkts" since the Gov couldn't fix jobs/housing, etc.

    under the QE-1/2... the Fed essentially "prints money" buys U.S. treasuries, the Gov loans the money to big banks overnight... the banks DON'T LOAN OUT THE MONEY...but buy equities... driving up the stock mkts...

    has been a "sweet ride" for investors... but "STILL A LOSER"...WHY???...
    ...the INFLATION that is hitting "Joe-average guy" with REAL INFLATION UP ABOUT 30% THIS YEAR...(and probably worse next year) for FOOD AND GAS -not like Bernanke's "phoney core index inflation rise" of only .1 percent ...IS HE DREAMING - IT'S ALL OVER "FOX NEWS" ABOUT THE CONSUMER...
    WELL, ASK YOURSELF THIS ...you rode the runup in the S&P500... BUT HOW MUCH ARE YOU AHEAD IN A YEAR ...WHEN YOU FACTOR IN "REAL INFLATION"...unless you made over 30%... "YOU LOST MONEY!!!"

    ...the SMART MONEY has been in the RUN-UP IN COMMODITIES...gold, oil, silver, food...they keep pace and "than some" WITH BERNANKES MONEY-PRINTING INFLATION... OIL WILL STILL KEEP GOING UP... has nothing to do with supply and demand (there's a glut) ...IT IS GOING UP almost ONLY BECAUSE the Arabs aren't stupid ...THEY RAISE THE PRICE OF OIL to the same extent BERNANKE DEVALUES THE DOLLAR BY PRINTING MONEY...(smart people put their money in "hard durable commodities" when THEY KNOW GOVS ARE AT THE PRINTING PRESSES...

    SO THE S&P500 is a LOSER even when it's STEADILY RISING...get it!
    ...you should be in commodities like oil and GOLD... notice GOLD went UP over TEN DOLLARS on this past Friday alone...why?... the smart money IS GETTING SCARED of the economic situation...THE REAL ECONOMIC SITUATION ...which is on the EDGE OF A PRECIPICE...so they are going to HARD COMMODITIES!

    Now, that Judge Napolitano on FoxBizNews no less, has "let the cat out of the bag" about Bernanke's phony inflation scam ...AND THE PUBLIC IS WISING UP TO THIS SCAM TO PROTECT THE ASSETS OF INVESTORS IN THE STOCK MKTS while they PAY THE PRICE at the gas pump and in the supermkt...well, the POLITICAL PRESSURE WILL BE IMMENSE for "NO MORE FED PRINTING MONEY" and maybe even TERMINATING QE-2 well before summer, like even this month...see link below....

    http://seekingalpha.com/article/263845-key-market-movers-earnings-eu-and-qe2
     

    so, when QE-2 subsides (coming soon...and that's ALL THAT'S HOLDING THIS MKT UP...) ...THEN "DOWN WE GO...SHARPLY!" ... because with "poor earnings" for many more companies then last quarter...and the CONSUMER being POUNDED BY "EVER INCREASING "REAL INFLATION" (food and energy)...well HE WON'T BE IN A POSITION to PURCHASE ALL THAT "HIGHER PRICED" STUFF IN THE STORES... so earnings for quarters to come WILL BE WORSE...and then, EVEN WORSE...

    SO, WATCH THE "DOWNDRAFT" IN MKT ACTION (I think the smart money in the S&P already is moving...that's why were slightly down for the last two weeks for the first time this year..."IT'S IN THE AIR FOLKS!"  ..."DOWNTIME!"

    FLASHROB




    Stocks: SPY
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