The reason why I didn’t sell more today is due to the ferocity of today’s decline, with respect to The PPT‘s Overall Hybrid algorithm. As you know, the system grades all stocks, based on technicals and fundies, using a 1-5 scale. When the rubberband extends to any extreme, it flags Overbought and Oversold signals, which vary in accuracy. However, for the most part, the Overall Hybrid score, when calibrated perfectly, cannot be fucked with or matched by any black box system out there, laughing at the shit you retail idiots concoct and spit on the institutional clusterfucks.
At any rate, two days ago the system flagged Overbought and went into extreme Overbought yesterday, registering the second highest score in PPT history. I was expecting a pullback, but not a broken elevator shaft, “fuck you, you’re dead” catastrophe. The result: a mammoth drop in hybrid score to the tune of 19.91%.
What does this mean?
It means the average stock graded by The PPT had its score sliced by at least 19.91% aka the 4th largest single day reduction in score ever. Your next question is “what happened on previous occasions of large hybrid drops?”
The answers are forthcoming.
9/7/10- Hybrid Drop 23%, SPY @$108.02
9/11/10- SPY @$111.054 day net result: +2.8%
6/4/10- Hybrid Drop of 21%, SPY @$105.19
6/10/10- SPY @$107.494 day net result: +2.18%
12/1/08- Hybrid Drop 20%, SPY @$78.08
12/5/08- SPY @$83.594 day net result: +7.05%
6/1/11- Hybrid Drop 19.91%, SPY @ $131.87
???????????????????????????????????????????
2/10/09- Hybrid Drop 18%, SPY @$79.65
2/17/09- SPY @$75.924 day net result: -4.68%
8/30/10- Hybrid Drop 18%, SPY @ $103.75
9/3/10- SPY @ $109.254 day net result: +5.3%
It’s worth noting, on the one negative outcome, the market was up immediately after the big down day and only dropped on the 4th day. And, there are numerous scores of double digit hybrid drops, with an overwhelming net result of higher stock prices, shortly thereafter.
Get your fucking popcorn ready.
I’m a mushroom cloud
We are on the other side of the bin Laden top. It was meant to be. Embrace the horror.
Shut up.
I’ll take butter popcorn fed to me by the biatches that was giving Rick Ross play at the king of diamonds strip club in Miami lol
I guess by being long and failing to recognize the distribution pattern, you can only wish that history repeats itself, to lessen the pain of being caught with your hand on the jar and the pants down….Say Cheezeeeeee
Ok, I had enough of you little snarky fuckers. You are all banned.
Never come here and offer financial advice.
“He who warns of distribution, may find his innards distributed over vast field”- Confucious
And speaking of China:
Their massive drought should put a bid under POT DE ADM , etc. Little sign of letting up.
That should help MOO and XLB soon
This comment is on fire by association with a comment that is on fire.
that’s phunny
It’s also worth noting I am up on every single stock purchased last week.
Fuck off
Question:
Many conservatives in the media and on IBC (JakeGint) claimed that republicans were about jobs and getting people back to work in the midterm elections. Big huge paragraphs with sophisticated words and complex comparisons and arguments beyond my simpleton comprehension were used to legitimize the republican takeover. Since the republicans have taken the house back, we have seen debt ceiling fights, destroying national projects (ARC Tunnel), try to repeal healthcare for all, giving the wealthy tax cuts, and now trying to axe medicare.
Where are the republicans trying to create jobs? By threatening to not raise the debt limit, how is that in any way creating jobs? Forget ideology. Where is the job creation? Besides cutting govt spending (firing gov’t workers who contribute to this economy)
Inflation is intrinsic to Socialist systems, I don’t see that creating many jobs either. (True capitalism enhances efficiency which is disinflationary.)
We need to take the medicine and allow the system to flush all of this out so that future generations have a chance.
http://www.youtube.com/watch?v=-pGiMEcsnNc
“We need to take the medicine”.
But who are the “we”? Are “we” the paycheck to paycheck wage slaves, the middle class small business owners, or the inner city breeders and feeders, the government class or the banksters and bondholders? The wage slaves and middle class small business owners are already over-dosing on the “medicine”.
“The wage slaves and middle class small business owners are already over-dosing on the “medicine.”
Of course they are and the printing only makes their lives even worse by forcing them onto the perpetual hamster wheel via inflation.
We need everything to fall to its natural non-manipulated state. Our lives will be extremely difficult but the lives of those who come after us will likely be much improved.
Otherwise you can be assured the standard of living will continue to fall for generations to come.
Pete, please learn civics. I don’t have the time to teach you how your government works.
It sure goes a way towards explaining your led by the nose politics, though.
____________
“We need everything to fall to its natural non-manipulated state. Our lives will be extremely difficult but the lives of those who come after us will likely be much improved.”
I’ve heard that one about three times during my lifetime …. That’s BS, keep drinking the Kool-aid and get back to me in twenty five years with an updated response of your own.
BTW, so you think disinflation is what we need right now …. Get in the funnel!
It will stay manipulated and unnatural, and not be anything but socialism as long as there is a monopoly on money creation.
The growth of the government sector is the biggest long term threat to our economy. Funding it by extending debt creates a huge problem. It’s like living off credit cards, or using your house as an ATM. Near term it’s great, but eventually the books must be balanced one way or another. Massive inflation and declining value of the US$ is nothing more than another tax on those who can least afford it, those who are supposedly represented by the liberals and democrats.
Pete, sorry to have to tell you this but there is no fundamental difference between the two parties. They are both equally corrupt on the whole. They are not interested in your welfare unless you have something to offer them which compared to the corporations you do not. We are greedy by nature and are system allows/encourages that greed to be exploited. We must get beyond this republican/democrat bickering and work on changing the laws that allow this. Sadly, I believe we are beyond the point of no return and the system will have to be purged, by any means, by the good people of this Republic.
As a start: Cut every govenment salary by 2/3rds. That would be more in line with private sector (real) wages. That would help reduce your deficit. Might even produce a very slight surplus.
You can’t take the liquidation route with the current economic system. It will destroy the country. The economic system is far too leveraged for that to happen without a depression that would make the Greet depression look like child’s play. I’m serious. Certainly not with this level of debt swirling around the system. The only route is inflation to debase the level of debt.
Why?
Look at what would happen to the real estate market for instance if it fell say another 60%.
Inflation is the only path forward and lots of it.
Don’t hate me for saying this.
J, the natural order of this world we live in, like it or not, is that only the strongest survive. If you are underwater with anything that you have purchased and you can not maintain the debt, then you, by definition have failed. I realize that there are many shades of grey in this world but ultimately only the black and white matter.
Arizon
Not sure about that. Plenty of people’s homes are under water, have jobs and servicing their debt.
Prices these days are far too sticky to allow a wholsesale liquidation.
Imagine going through a firm and telling people their nominal wages are going down 20%. It’s far easier to inflate away 20% of the value of their wages than cutting them nominally.
And if only the strongest survive you may want to explain why there are so money people with heart pacers etc.
Agreud. If pay cuts brought government salarys back to reality, then for sure there would be MAJOR re-setting of real estate prices. Most banks would collapse (as they should), and people would get screwed who foolishly trusted them and their insane fractional reserve lending with their money. Though many would be royally pissed, things would be back to normal within a couple years. Unfortunately, its not the politically expedient thing to do. So everyone suffers through a quagmire of unemployment and grief until the system fuckin breaks. Then it all unravels anyways, in such a way that world currency and NWO slips in through the confusion.
Thank you Sir Fly.
Very good. Your Lords & Masters at the Federal Reserve & elsewhere are better able to control you if you play the ideology game like this. Attack the Republicans. Then they attack the Democrats. And everyone forgets that Congress folks of both parties are nothing more than legislation salespeople who sell legislation, and/or the ability to block legislation, to the highest bidder.
Next move is that Jake or some other Right Winger calls you a Communist because you dared to criticize the Repubs.
Then you get to waste your energy on dealing with personal and ideological and other types of insults. The Special Interest Groups win again. Pick fights with the other Party. Or humbly ask the other Party guy to enlighten you, which he will take as incitement to fight and verbally abuse you. Very good. The Special Interest Group plan of controlling all Americans through the Divide and Conquer strategy works very well, doesn’t it?
Repeat after me: The other party is terrible and I have to spend all my time focusing on their horribleness. Nothing and no one is bad or a problem– except the other political party besides the one I am a member of.
If the republicans would stop letting Glenn Beck and Palin hijack them , they’d be alot better off.
What is with the creepy connection between those two?
Was she manufactured in some secret Mormon cloning lab?
http://www.metafilter.com/73963/Clones-and-Kidnapped-Mormons
I wonder which biotech company will be a good play on the coming cloned Mormon ninja army
You are at times amusing. However, just pull the trigger.
The Republicans and the Democrats are just the right and the left butt cheeks of the same political being, but it is the giant barking, putrid smelly neoliberal asshole between them that controls their movements. The Republicrats exist to shit on the American people. .
You are correct in pointing out that crony capitalism rules the day in Congress, but that’s merely a result of the amount of power concentrated in Washington by the size of the government there.
There’s only one party that is seeking limited government out there, so you can stop with your nonsense about how the Dems are the same. Yes, there are some liberal Repubs that are just as bad on the crony side as some of the venal Dems, but the Dems are about pure government, top down CONTROL of the economy and your life. They don’t hide it, they say they like it, and that’s the fucking difference.
So if you really give a shit, strive for limited government every time. Otherwise you have monstrosities like Obamacare and Dodd- Frank, and assholes like Chuck Schumer promising to “fix them” for your vote, like they weren’t the ones who gave life to those monstrosities in the first place.
You’d have to be suffering from some debilitatitve cognitive dissonance to fall for that one every time.
________________
Tell us what The Boehner has done since becoming SOH to create jobs … Christ, the guy has been in control for half a year already and where are all these private sector jobs?!?! Don’t feed us the party line that it’s Obama’s fault cuz it happened on his watch… Your leader has only two priorities; lower taxes for the wealthy and dismantling social safety nets. Where are these private sector jobs you keep telling us about … after all, the private sector is more efficient and shit! So is the GOP plan to cut all public sector jobs and hire temp agencies to run the government or better yet use their mobile capital to export these jobs to foreign service companies owned and operated by the multi-nationals? Please … put the Woodford away till you sober up.
I meant to address that to Pete.
There are fundamental issues that “economics”, measurements, only begin to numerically corroborate. Frog, you miss the point when identifying politicians and politics in the same breath. Keeping account of our American, historical values may be something you cannot valuate. But some in America shall always do so.
Blind Dead Aphid, what R U talking about specifically? What are you saying is the answer to our economic problems? I say the answer is campaign finance reform that allows no Special Interest Group bribing of politicians, which is now perfectly legal and Standard Operating Procedure of course.
No new laws are necessary for this to happen. We citizens would just band together and decide to NEVER cast another vote for any politician who accepts a penny of Special Interest Group money.
Excellent idea!
WRONG.
When will you dumkoff lefties get it. Special interests are only people exercising their first amendment rights to be heard by their government.
There is no answer to “special interests” if you allow power to be wielded from a central government. Twas EVER thus, in every gov’t system in world history.
The ONLY way to prevent crony capitalism, socialism, oligarchism, and every other authoritarian takings by governmental authority is to limit that government’s ability to have power over your lives.
You don’t want big ass corporations squeezing out the little guy? Great! Then stop allowing the gov’t to regulate the economy in favor of those big corps.
If you are not willing to swallow that pill, then you are only a slave of a different pleading, and I’ve no use for your complaints.
________________
Sounds like The Constitution is too liberal … ironically, the document devised to protect it’s people has opened the barn door to the corporations and in turn cronyism, bribery and corruption. Surely we need to rewrite that antiquated document with a more protectionist right wing bent if we ever expect to pass the American Dream down to our children and grandchildren, right Johnny2Times?
I beg to differ. Our lawmakers and judges have perverted and bent the Constitution to suit their and their lobbyists wishes.
This degradation of our founding document began in the mid to late 1800’s when it became ‘en vogue to view it as a “living” document that could be changed with the times instead of being based on immutable laws.
The Constitution did not open the barn door but rather the people entrusted to its safe keeping did.
the comment was tongue in cheek but that said I realize who is responsible for it’s undoing and therefore the doc needs one of two things … A) a less flexible rewrite so peeps don’t fuck with it or B) a chastity belt (not to protect it from itself but others).
Can you back-test it to 2000? 1987? I mean, you’re PROBABLY right, but I suspect that if you’re wrong, you’re wrong BIG.
Fly – Thank you again for the gift of the celestial precision of the PPT.
Is deflation the answer Fly?
Sure, if you want to die.
So that’s really the bottom line isn’t it, print or face total systemic collapse with riots and all the rest. Why not just buy some gold and silver and be done with it?
That’s no fun … Jeesh!
You too have achieved honorificabilitudinitatibus.
very kind of you to post that .
Better stock up on some White Power Milk.
You never know when you might need it.
http://whitepowermilk.com
Mr. Fly. We have found your solar spheres. We found them in San Diego and you will need to fly out here to identify same. We also have arrested a suspect. They were in the possession of one called Danny and we believe you know of him. Apparently a neighbor of yours, one Old Man DeLuca, was angry at you for putting a Jart in his shoulder blade and pushing him onto a Slip and Slide, at your BBQ, causing a hip fracture.
Good God Mr. Fly! He is 92 years old. DeLuca mailed them to the one called Danny and they were going to use the spheres to frame a Jake Gint.
When can we expect you?
And don’t forget your ID.
Play golf or trade SMH today?
All the fat people economies of the world are false. A bunch of stupid fucking modern day Roman Empires, all about to collapse under the weight of their collective debt and entitlements. So how do I make money of this stupid shit?
Sell The Vol Thats Coming. There Is Nothing Left To Short!
What if you prefer chocolate milk? Can I get me a big black girl?
Benny B and the Ink Jets will have no choice but to print.
Question is what is max pain on market slide before the politburo caves and gives him the green light.
Regardless of election year I dont thin kany politician wants to stand in the way blowing up the dream.
Deflation is simply not an option.
I pulled some news on what was going on during these moves. Interestingly three out of the four times in 2010, Bernanke gave a speech after which the market rallied hard. The other time Obama spoke. Guess who speaks at the International Monetary Conference in Atlanta on Monday. Odd, no?
Here’s the news I retrieved:
I. 12/1/08 move=: Bernanke gave a speech on Federal Reserve Policies and again on December 4, 2008 he gave another on Housing, Mortgage Market, and Foreclosures.
II. 6/4-6/10/10 move== Bernanke spoke. Euro debt situation. Positive analyst comments on BP. Strong exports to China. Dollar lost 1% and SP gained 3% on 6/10/10.
III. 8/30/10 move== On August 27 (Friday before 8/30): Optimism that there won’t be a double dip and assurance that the Fed will act if there is one was a combination that gave stocks a solid lift Friday. Ben Bernanke’s comments weren’t the only positive in the session as the second-quarter GDP revision, at plus 1.6 percent, turned out a little bit better than expected. Consumer sentiment wasn’t so great, edging back in the last two weeks of the month. But the market was focused on Bernanke and rose steadily following his speech to end with a 1.7 percent gain on the Dow to 10,150. Also giving stocks a lift is a full fledged bidding war between Hewlett-Packard and Dell for data-storage software firm 3Par. On 9/1/10 Purchasing managers indexes out of China and the U.S. both showed improvement for the manufacturing sector, igniting a powerful rally in the stock market where the Dow jumped 2.6 percent to 10,269. But the U.S. report did show some cracks as new and unfilled orders both slowed. Dollar fell 0.8%. On 9/3/10 an employment report that shows a gain in private payrolls and upward revisions to prior months raised hope that the economy may once again pick up steam, well at least a little steam. The ISM non-manufacturing report is losing steam, showing some of its slowest readings of the recovery. The gain in private payrolls, at 67,000 to extend a string of roughly similar gains, was enough to push the S&P up more than one percent to 1,104. Investments funds fled Treasuries for a third day, sending the 30-year yield eight basis points higher to 3.79 percent. Funds also sold the dollar where the dollar index fell 0.5%.
IV. 9/7/10 move==: German banks will have to raise cash to meet new capital requirements. Dow drops 1%. 9/8/10: The appearance of buyers at a Portuguese debt auction eased the latest doubts over Europe’s health, pulling money out of safety and into the stock market where the Dow rose a half percent. President Obama spoke in Cleveland at 2:10pm about the economy.
Good work
The Jewish Zeus slinging his lightning bolts…
You’re thinking of a different epithet applied to Zeus, known as Zeus Agoraeus. For he is the watcher over business at the agora and punisher of dishonest traders.
If there was a question mark beside the comment thumbs, I would have clicked on it.
Of course they will print, the question is will they let the populace squirm for 2-3 months in order to have some angst before announcing a disguised QE3 program.. It is not just the Tparty and the gop they are concerned over but the threats from China and other emerging economies that are going to get social unrest from the massive liquidity hitting their shores. If they wait some we could see 10%-20% downside from here. Test the Daily 200SMA on most indices.
either way the market will probably go to 20000 by the time we hit QE8. case studies include zimbabwe, argentina, weimar, etc..
Beware BAC
Market needs to rest tomorrow after a crazy day, plus, why would anyone buy before the NFP data on Friday?Sort of like a great party..we just have to sit with a ice pack on our heads tomorrow with a stupid smile of such a great time we had, well us bears did.
We get Oil Inventory weekly data on Thursday due to the holiday, when it comes out with Nat Gas Inventory data there is a pattern of crazy movement when that happens. API showed a build higher then expected and we are seeing oil pull back…could be fun when it plays with support
Deflation for now Fly.
$100 bread means riots in the streets. The Fed is out of options. QE3 will happen but not until massive deleveraging that will be allowed until the risk of insolvency appears.
The Fed is in a box and does not have a choice. If they pull the trigger early and the currency tanks then we have $6 gas.
Deflation is MUCH less painful for the public which is why it will be allowed. Hell I would LOVE deflation. Who doesn’t want cheaper prices besides the Fed?????
Fuck them and fuck anyone who gives this comment a red thumb!
You 3 red thumbers are BANNED!!!!!!
The Government and Fed’s task is to boil the frog. As long as the currency debasement is slow, over the course of a lifetime or two, the gullible public will fall for it. The financial powers that be and their US Congress will not permit more than a brief interlude of deflation, to calm the edgy frog.
Young ‘uns would be wise to try to escape their worlds long enough to focus on this reality and set up their life to avoid being a total victim of the government trick.
And how would one do that? I see no avenue of escape.
Just trying it on.
In the immortal words of arch from all last summer:
“I wish you fuckers would quit trying to shake me out.”
What the heck happened to arch?
I thought it was, “are you fuckers done trying to shake me out? I’m about to send in a probe bet on Fas”.
Lol – I kinda miss hearing about his trading strategy.
Last I heard he was “all in” at the August lows and cashed in prior to November. He said he was going on a brothel tour of Asia. Seriously, that’s what he said in so many words.
If half the whiners posting political comments here would spend as much time on their trading as they do thinking about stupid chit, they would be cruising around in Bentleys handing out pizza and dimes (maybe even quarters) to homeless men and children.
I thought that was something famous athletes do, no? Yoooogi?
Ben did actually say the Fed can (and will) throw cash out of a helicopter. Remember?
The US stock market moves in lockstep with the euro. If the euro is up big, the market will be up big too. The euro is up this morning.
up is good, lost 4 days of gains yesterday, hummm should of sold the day befor and played w/ birds like fly said.
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