UNG short squeeze....
Interestng tape action in UNG pre-open, couple of big
blocks took UNG down .20 cents, which didn't make any sense,
on no news...
It bounced back immediately, signaling no absence of buyers,
and then this nice 8%ish gap up open.
I wouldn't chase this bounce, but on any pullback I would pounce.
Curious to see if they use Oil the way they used it last year?
Spike it until it pops the market.
A big Goldman led rally here, with a spec run in oil makes
sense, and timing wise, sets up PERFECTLY for a big dump,
on the passage of Cap & Trade and the Health Care bill.
They'll use this prop job rally to sell those two bills.
They'd never pass into a market pullback. They MUST
jam up this market until the September vote, and then,
watch Goldman pull the plug.
Politics will drive economics and not vice versa.
I think we're getting a HUGE disconnect here between this
rally and the real underlying economy.
No sustainable recovery can, or will happen without jobs.
JOBS - JOBS - JOBS
Nothing else matters... especially with an ongoing debt
deleveraging process which will continue for years, not
months.
Did you see Jim Tisch of Loews on CNBC this a.m.?
He spoke to the debt deleveraging story and said it would
last another 2 or 3, even 4 years.
CRE is going to be ugly.
Did we learn nothing from the subprime bubble?
This market is like your neighbor taking out an adjustable
LIAR loan, then buying a new car, home theatre system,
a big ole Rolex, taking a cruise, and buying a new pool.
Is his seeming prosperity real, or an illusion.
So goes this market, because Obama just took out the
biggest LIAR loan in history, and mortgaged America
in the process.
SOTB
PS: If you bought this UNG pullback, do not forget the
golden gap up rule...
ALWAYS take 'something' off on all major gap up opens,
.....always.
Something, not everything... but, do move those stops up.
And remember UNG turned right on the money at $14.00 even
on the last rally. |
