The Hunt for Bottom ~ The Risk Averse Alert

Friday, June 21, 2013

The Hunt for Bottom

Former British Prime Minister and imperial fertility pill salesman in training, Tony Blair, recently had this to say at the annual Presidential Conference in Jerusalem:

"Undoubtedly the predominant emotion in the West today is to stay out of Syria; indeed to stay out of the region's politics. But as every day that passes shows, the cost of staying out may be paid in a higher price later.

"But we should understand: the window of opportunity will be open for only a short period of time. We must go through it together. If not, the window will close and could close forever. Time is not our friend. This is urgent. This is now."
The same could be said for moving the United States' nuclear armed submarine fleet into the English Channel and beginning the national debate over which European capital the U.S. should turn into a parking lot, London, Paris or both. Venetian front men, like Blair, rather than the likes of Bashar al-Assad, are the main political menaces provoking any sense of heightened urgency inside the United States. Young Americans are positively not on board any prospect of active U.S. engagement in the insurrection (slash NATO subversion) in Syria. Nevertheless, these seem fairly amenable to waging war against a Venetian oligarchy whose endless scams and permanent war policy have bankrupted the nation and shattered respectable opportunity.

Thus are U.S. political allies in the charge for war in Syria to be commended for incredible courage displayed in the act of treason they condone. Countless military veterans of imperial adventures over the past decade plus, having intimate experience with the fruits of sequester and a general degradation of the institutions of the U.S. federal government imposed by impeccably groomed subversives who otherwise talk a great game of patriotism while their hands are in the till, stealing the nation's wealth, now more than ever could be driven to desperate acts on behalf of their brothers in arms whose fortunes in battle are not likely to be any different than their own. Lord knows...9/11...Venetians themselves might be compelled to pull the trigger...9/11...if only for achieving the very end the supra-national, imperial empire champions...9/11: destruction of the ultimate authority of the sovereign nation state.

As for Tony Blair, well, it's thank you for resurrecting the spirit of the American Revolution whose continued strength in principal (not to mention in nuclear arsenal) now provokes a rising U.S. political current compel the United Kingdom become a constitutional republic like the better half of the English-speaking world, promoting this with the same intensity of intention as today is deviously directed toward Syria, while insisting it is either this course, or a parking lot named "London." What's good for the goose is good for the gander, no?

In the meantime an oh so penetrating media's coverage of the Capo Confetti Chronicles has perception evidently remaining dense—so thick bunker busting bombs would prove impervious—assuming Fed "independence" is the subsuming principle driving analysis supposing the horse leading the tapering cart is Bernanke, rather than some other, more influential Team Fraud element who, through political mouthpieces, came out of the shadows this week plunging knives into the Fed Caesar's back. Positively stunning was this development, while only the more disconcerting is the larger implication of this turn. Yet no mask laying hold of irrelevant, outdated fantasies can long conceal fast approaching imperial theft by way of "bail in." Little wonder this likelihood is not being spoken, though, as panic it would precipitate rather goes without saying. Still, it is clear something nasty is afoot, no matter the "nothing to see here" posture taken by weak members of Team Fraud's psychological operations unit.

Bottoms have not been typically accompanied by volume spikes, but rather by its diminishing. Nothing unusual about this. So, a diminishing of selling intensity occurring over upcoming days and weeks we can fairly anticipate.

Likewise a further sinking of both RSI (top panel) and MACD (bottom) before any significant bottom is in place. Assuming 5 waves up from early-June 2012 bottom presently find the 4th wave of these forming off May peak, increasing weakness such technical measures typically display relative to their corresponding readings registered during formation of the preceding 2nd wave leave us to suppose this 4th wave has time and space in which to further develop.

This week's decline has had the effect, though, of sinking the S&P 500 to now being within the range of its "4th wave of one lesser degree," namely wave iv of 3. Still, even per this Elliott Wave Principle guideline setting expectations toward formation of 4th waves, there remains further downside possible here. Just how soon this materializes, though, is another matter. Three waves down from May peak appear near completing. These three waves might be seen forming but wave a of 4, leaving a 3-wave bounce forming wave b of 4 pending over coming days. Subsequent formation of wave c of 4 should see technical deterioration and diminishing selling pressure materialize in a manner we have sound basis to reasonably expect.

Word on the Street
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