Wheee, everything is getting better!
How do I know? Well Cramer told me not to pay attention to yesterday’s “obvious technical correction” even though it wasn’t obvious to him last week, when he told us to BUYBUYBUY 2.5% higher than we are now. This weekend Iasked the question “Is Cramer STILL Wrong?“so Iintend to give him every possible chance to explain himself this week and last night Cramer blamed the charts, the same charts I blame formaking me right. Will a quick 2.5% pullbackbe enough to allow us to rocketback through resistance? I don’t think so, we were looking for an 8% correction and we’ll settle for 5% ifwe have to but calling yesterday’s 2.5%pullback a buying opportunityis pushing itjust a bit I think.
Cramerica has a lot of help today as the IMF upgraded their view of the US economy. Before you BUYBUYBUY based on that headline, let’s do something Jimbo tells us never to do – think! As part of my personal thinking process I like to read the article attached to the headline. I know this simply goes against everything CNBC stands for but it’s a quirk I have so indulge me: You don’t have to read very far so I’ll just put up the exact first two paragraphs from the WSJ titled: “IMF Upgrades It’s View of US Economy” and let you read for yourselves (Cramer fans may want to take this time to grab a quick snack):
WASHINGTON — The U.S. economy is healing faster than anticipated but still at an anemic pace that’s unlikely to soon produce either jobs or inflation, according to the International Monetary Fund. In its annual review of the U.S., the IMF forecast that the U.S. economy would contract by 2.5% this year, compared with the 2.8% decline the IMF predicted in April. For 2010, the IMF forecasts the U.S. will grow 0.75%, rather than the zero growth it predicted two months ago.
Only down 2.5% this year and growing 0.75% in 2010 (from the down 2.5% of course so that’s stillDOWN 1.75% from last year at the end of 2010). Woo-hoo, where can I get some oil? NYMEX Oil is actually up $2, back at $72 in a pre-market pump job despite the fact that Brent Crude, which is being ACTIVELY traded in Europe, is DOWN $1.50 to $69.39 at the same time. This proves once and for all that no one can…
