24 hours before FED will do rate cut and we´re starting to reach that zero (or soon negative) yield, I checked eur-usd and spx charts plus some others. My previous SPX came perfect meeting 50% / 830 points and taking reversal from there. It also corrected today again 50% from this last up movement.
1.3734 is 38.2% fib retracement for EuroDollar, this comes from all the way from 1.600 – so, it´s not easy to get breake it – once and if it occures 1.4172 is 50% for it. Euro got that rally during last 6 session as market priced FED rate cut.
None offers any clear patterns in any assetts group to give real power of direction, this is very usual situation with IV waves – charts usually looks so weird as they can, only ocsillators promise any life for them if any but patterns are ozzy-zones. IV waves are slow and painfull process as time has proved at so far, you can get that SPX 1000 – it´s just so slow & boring process to reach it.
So, I really believe we work IV waves, a lot of them now – nothing else (waves) can´t be this painfinull, slow and boring process. If that´s the case then C upwave can come, but I don´t like very much idea of buying.
As Mr. Spielberg lost a fortune also with that Ponzi sceme I got a funny idea when I was browsing new James Bond scemes because I remembered it was Spielberg who actually directed WallStreet Movie telling about greed, greed is good etc…….kind of legend movie of it times, perhaps we will see another movie some day telling about this latest issue some day. Certainly terrible thing, but with Kontratieff 2009 winter – be prepared for more bad news. After all It´s more than surprize that hedgefund indursty has not seen more windfalls at so far, I thought much more of them would be dropped off from the marketplace with Oil correction.
As low interest rate were one of the main reason why we got this pubble at first stage, now they try the same game again. Should be interesting how this ends some day, scary, but it starts to sounds like a japan way. There´s one indursty which rock´s now and that´s US biggest export indursty > Gov Bonds. It´s estimated now US budget deficit will be doubled during 2009.
None of the political or cultural statement done in here, just were a bit funny mode before X-mas as market is just far too boring for me now to follow or trade, besides I missed that eur-usd runaway.