Garbage indeed. Lower still it will be sinking, too. There's little need for diffidence in expressing this view. These pigs are going down. The only question is how far?
Now would be a good time to review the S&P 500's weekly chart presented here on Friday. The lower line of support drawn, which, as I said, finds commonality across all major indexes could be where we are heading.
This is to suggest, too, a prospective Elliott rising wedge forming off early-October 2011 bottom probably is not developing here. We shouldn't have to wait much longer for this to be confirmed.
In previously forecasting possibility a rising wedge might be forming a couple matters of circumstantial evidence were thought likely. One was that, during the market's decline from its September peak its technical state should worsen relative to the same at early-April bottom. Although on several counts this has proven true, there are a couple notable exceptions. The first is seen via the Volatility Index and the second the NYSE McClellan Oscillator. Neither have yet to exceed their early-April worst. Given that most other technical measure have in fact done so, weakness thus far established during the market's decline from September peak is likely to continue and bring presently "lagging" technical measures into line with those that, not only are already exceeding their early-April worst, but their late-May, early-June worst, as well (which, if you recall, was another matter of circumstance we were looking forward to per confirming prospective formation of a rising wedge off early-October bottom: specifically, that the market's technical worst might materialize earlier in formation of the [prospective] rising wedge's 4th wave, this unfolding off September peak, rather than later, as occurred during formation of the rising wedge's 2nd wave from mid-March to late-May).
As for what likely might be developing here—the Elliott wave count—let's save it for tomorrow. For the moment consider how hysteria over the "fiscal cliff" plays into prospect that, hyperinflationary response to an entirely unsustainable debt burden is only the more likely to intensify.
Look, I oppose both cuts in discretionary spending, as well as tax increases on anyone, wealthy or otherwise. As long as the pricks refuse to be honest about how today's hopeless circumstance came to be—all things that made Adam Smith's Leveraged Ponzi Scheme possible, without which our current indebtedness would not be so terribly overwhelming—then there is no point to addressing on "acceptable" terms (read: those put forward by the new Venetians of Great Britain and their seditious allies here in the U.S.) either a parabolically rising indebtedness or the fraud of resolving this by any means put forward by that fascist Paul Ryan at the behest of hopelessly bankrupt swindlers and oh so penetrating apologists in the media. The hoot the other day that, Wall Street was not invited to Obama's meeting with business leaders was just hysterical. Gee, ya think this might have something to do with Wall Street's very authorship of Herr Simpson's and Herr Bowles' blatantly fascist policy, and dull marionettes currently in political power being crafty enough to sense yesteryear's overwhelming resistance to swindler subsidy (TARP) simply will not tolerate there being dirty pigs at the table? Of course, this didn't stop Lloyd from seating himself at the children's table. Good lord, how stupid do they think we are?!!
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