Boob Watch ~ The Risk Averse Alert

Thursday, November 14, 2013

Boob Watch

What have we to say about the likely last person to lead the Fed in its present, insolvent state, herein called "Queen Confetti" the monotone Capo clone?

We could only be bullish on acting schools where U.S. Senators evidently are trained to engage personalities of questionable stature whose job as liaison to the gravy train filling campaign coffers apparently qualifies wet lumber for leadership positions. For what it's worth, scoring the lords of zero due diligence might satisfy the forgotten man's blood lust, but does nothing to reverse his fortunes. Indeed, willingness to give the incompetent Queen the nod only suggests a cynical agenda is being forwarded, the likes putting the forgotten man on a fast track to the scrap heap. Surely, the Tea Party now sees how it was set up for a fall by leading the government shutdown last month, as their thorough discrediting sets up to serve Queen Confetti's speedy confirmation. As we noted at the time, the Tea Party's attack on Obamacare obviously was a ruse. Threaten master Wall Street's massive Obamacare subsidy provided to its insurance industry? Get real!

Not that any of these political intrigues matter at this point. For the most part today's ruling class is a herd of dinosaurs about to meet an extinction event. Short of nationalizing the Fed, turning it into a Hamiltonian national bank and directing it to issue credit financing the build out of a physical economic platform worthy the 21st century, the house of cards that is today's dollar reserve system is doomed.

So, here we return to NASDARK for a new view on its prospective Elliott wave count off mid-November 2012 bottom. What's interesting here is a "like from like" dynamic displayed in formation of 4th waves. We see here an upwardly biased tendency as 4th waves form. First appearance was in formation of wave 4 of iii of 1, then in formation of wave iv of 1, itself. Again we see this same tendency in prospective formation of wave 4.

Per typical technical deterioration of 4th waves versus 2nd waves, we see this displayed in formation of wave 1's component waves. Odds are we will see this again as wave 4 continues to form. Negative technical divergences registering in both RSI (top panel) and MACD (bottom) as NASDAQ's Composite index extends higher set up for NASDAQ turning lower and sinking these measures below their respective lows registered during formation of wave 2.

Obviously, this prospective Elliott wave view is likely to force a slight modification to the same applied here to the S&P 500 over the past week. We will consider this tomorrow, then.

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