Global Panic! Grim Open For Stocks

Stocks are much, much lower than where they were last night. That’s what air-pocket, overnight risk looks like.

Central Banks are a problem. This whole negative rate thing has equity markets tripping. Deutsche Bank’s “we’re rogered” memo was our tell. Here’s an entire MBA worth of economics for stock investors: The more traders are talking macroeconomics the deeper your bomb shelter needs to be.

Right now everyone is talking macro. The S&P 500 Head and Shoulders pattern has a neckline slice with a close below 1850. The 10yr yield is at 4 year lows (Congrats, TLT longs). Yellen is testifying before Congress.

We’re either going to make a very sharp bottom or suffer a hideous death. There is no in between.

Thank God it’s Friday*.

For more please see 3 Rules for Bear Markets

* Crap