Master Che's  Instablog

MARKET OVERVIEW & COMMENTARY:

I want to try and keep this as simple as possible. (If possible)

Don't BUY this dip, I understand that majority of you are investors and not traders; investors only buy (long) and rarely short the market, it's not your fault, but rather a by product of manipulation and conditioning (brainwashing) for example; stocks are only halted (stop trading) on the downside, not on the upside or you can buy (freely) stocks but can't sell (naked) stocks and going one step further since 7/2010 the stock market has not been organic or in other words intervention/manipulation; commonly referred to as QE and POMO, meaning the investors (and traders) have been conditioned to buy based on this outside support; the outside support (FOMC) has more money than everyone else, in fact unlimited; although this paper saturation process at one point in time becomes an inflationary boomerang; as a result of this potential threat (inflation) the FOMC has instead recently intervened in the energy market (crude); don't lose sight of the fact that the U.S.A. is no longer a producer but instead a consumer, meaning the main impetus of economic development is based on consumption; the major threat to this insane form of economic development and dependency is inflation. But getting back to the point, the market is heading down to the 6/4/12 to 7/25/12 lows, depending on which ETF (SPY, DIA, QQQ, IWM) or which stock. None the less don't buy this dip; the profitable play is to the downside, if you're not able (mentality) to sell the market (only buy) I strongly recommend to close your monitor and walk away from the market and take the funds you wanted to use to buy this dip and instead go Christmas and spend all the money on presents for your loved ones, rather than buy the dip and get slaughtered and lose your money. When the major markets head down to the 6/4 to 7/25 lows all stocks will be bearishly effected. Until the major trend (intervention) rolls over the play is to the upside; therefore short the stock (shares) now and at the 6/4 to 7/25 lows aggressively buy (options); why short the stocks (shares); because if the life preserve system (intervention) fails to come to aid of the comatose bull, then it continues down to the 10/2011 low.

When I advised all of you at 696.50 on AAPL that it was a sell and not a buy and was heading down to 606.66; at 652.00 I also told you that it was coming down to 566.45 and possible a major trend reversal, majority of you did not pay me heed and lost money. The exact same set-up with AAPL at 652 is the current state of affairs of the over all market; After recently scanning over 500 key stocks; I have only this to say; the market is setting for a steep down move and quite possibly a major trend reversal, this set-up is similar to 2007/2008 and far more grave due to the corruption of the investor/traders mind (mentality)

You have a sufficient number of stocks to short; GOOG - AMZN - FB - INTC - HPQ - CSCO - QCOR; don't short the food or retail or Healthcare; the financials should fall apart but I don't like shorting them, because they are the intervention stocks; REIT - Energy - Mining stocks will fall apart.

Up until before thanksgiving the profitable play is to the downside. Then it will either reverse or pop (based on Christmas) IMO this will only fuel the fire further down (stops)

On Monday 10/29 this blog will no longer be open to the entire public, in other words it will be for only those invited.

In order to receive an invitation, please send me an email (masterchetrading@gmail.com) or to my SA mail box requesting an invitation; if not this blog will be closed to the general public on Monday (10/29)

AAPL UPDATE http://masterche.blogspot.com.ar/

On Monday 10/29 this blog will no longer be open to the entire public, in other words it will be for only those invited.

In order to receive an invitation, please send me an email (masterchetrading@gmail.com) or to my SA mail box requesting an invitation; if not this blog will be closed to the general public on Monday (10/29)

AAPL UPDATE http://masterche.blogspot.com.ar/