Your model does not give targets, if I remember correctly.
So, maybe we do go to 1700, maybe it gives a sell earlier. -g-
1490-1500 should now be a strong support under these markets,
unless it was a whipsaw, which is always a possibility -g-
1540 is the next level, then 1555 and 1576. It "should" be a
good ride into da Fed, da rest is unknown, as there are strong
bearish undercurrents -ggg- The main undercurrent, the dollar,
has been temporarily conquered by the PPT. I fully expect
that bear to resume post-Fed with the 50 bp. cut on December
11 these markets are now celebrating. The same cut and
huge government bailouts are extremely bearish for the dollar.
Where will all dat government cash come from? Taxes? We are
running a huge deficit. Then what else? -g- I think Ben/Hank
have that little electronic machine to drop $$$ from hilos,
but da dollar will go down with every use of that machine.
It is true
that there are attempts of global Weimarization, but so
far foreigners are cutting much less than US, so the interest
rates will pressure the dollar further down. We just had
a hilo squad unleashed on these markets. Were it not for them
we would already have crashed in August or now, or even before
-ggg- |
