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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 368.29+0.6%Nov 7 4:00 PM EST

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To: Dr. Voodoo who wrote (33845)4/24/2008 10:00:05 PM
From: TobagoJack  Read Replies (1) of 217576
 
just in in-tray

quote

i agree Chinese shares look technically good here, but they don't necessarily have to correlate with the SPX - anyway, whether a target of just above 1400 can or can not be reached is anyway a coin flip question - although it would be neat, since the remaining sentiment hold-outs would then also align. so i actually favor an above 1400 target as well - not least because i've studied past bear markets closely, and noticed that the rallies often ended after break-outs over previous resistance levels (and 1400 is resistance now). a note on the sentiment data: they are all in all not at a sufficient extreme just yet, they're only in the process of getting there very fast.

true, gold stocks often make a seasonal low in May...probably going to do so this year as well (i'm looking for a zig-zag move from here).

inflation fears? i see no market-based indications of inflation fears anywhere. the long bond yields 4.54% - it wouldn't do that if anyone were really worried about inflation (whether they should be worried is another question). the market's only fear is imo DEflation, specifically, asset deflation. the stock market has not worried about rising commodity prices at any point over the past few years...on the contrary, stocks and commodities have positively correlated for most of the time -and the commodity/materials type stocks themselves have actually been a big prop for the market.

unquote
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