Those vultures sitting on high — exposed and vulnerable to an environment filled with incredibly nasty elements — must be looking upon one another with a great deal of mistrust these days. Why with pickings outside their flock so terribly slim, how long might it be before these turn within and attack, that voracious appetites of some among them might be momentarily satisfied?
Indeed, was this not the nature of events in 2008? And did this not occur right at a time when that most fearsome impediment to such birds of prey — a caging government — was in transition and so, in need of, shall we say, policy direction?
What more of the same ... and worse ... might be ventured this time around?
Consider that, when you have everything to lose, you might have nothing to lose should something unthinkable happen, as it can (and probably will). One step back might at first appear hard to swallow, but two steps forward, still living, could prove to some white shoes a most attractive alternative no matter what violence ensues.
(This is not to impugn an active part in any conspiracy. Rather, something to be gained in complicity with a prospective new turn — coerced at that — in the affairs of the Western world.)
Over the past week or so I have been on a mission to organize charts published here. A pair not reviewed for some time — cumulative advances-declines on the NYSE and NASDAQ — today deserves another look.
Distribution revealed by the disparity — divergence — between NYSE cumulative advances-declines and the exchange's composite index remains firmly intact. This disparity in the microcosm of April 2010 - present is further developing in much the same manner as has been the case in the macrocosm from October 2007 - present.
Thus, is time's passage since October 2007 seen a continuing exercise in raising capital while simultaneously reducing long exposure. And why not? ...
Such "animal spirits" as are necessary for sustaining a prolonged advancing period in the stock market — represented by broadening, advancing participation in those most speculative issues as fairly characterize NASDAQ listings — plainly are absent.
Not only that, but we see growing technical evidence revealing NASDAQ's "death spiral" is resuming ... which problem at this still vulnerable moment simply begs one wonder whether a violent misdirection might be in order ... such that our present, hopeless systemic situation might find among the still living those who created the mess in the first place. This, of course, would include many a limp noodle in Congress. These are the likes who wouldn't know a fascist on bended knee from a fudgesicle.
* * * * *
© The Risk Averse Alert — Advocating a patient, disciplined approach to stock market investing. Overriding objective is limiting financial risk. Minimizing investment capital loss is a priority.
Analysis centers on the stock market's path of least resistance. Long-term, this drives a simple strategy for safely investing a 401(k) for maximum profit. Intermediate-term, investing with stock index tracking-ETFs (both their long and short varieties) is advanced. Short-term, stock index options occasionally offer extraordinary profit opportunities when the stock market is moving along its projected path.
Nothing is set in stone. Nor is the stock market's path of least resistance always known. More often than not, there are no stock index option positions recommended.
There's an easy way to boost your investment discipline...Get Real-Time Trade Notification!
