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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives
SPY 687.280.0%4:00 PM EDT

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To: POKERSAM who wrote (69991)3/31/2015 6:46:36 PM
From: FCom777  Read Replies (1) of 218155
 
Thank you for the acknowledgement !

There is a reason why bulls are hard to kill ... they have been largely correct ! We aren't that far from the highs.

Think we have a real good chance of getting a significant correction here ... I'm thinking perhaps sub 1800 SP ... but once (if) that happens - we could be back testing highs a couple months later ...

The most important chart is here:

research.stlouisfed.org

What's the chance that the monetary base actually contracts? It's been a chop for the last few months - arresting the ridiculous increase - my guess is that it doesn't break lower - don't think FED has any choice but to keep on expanding - they can only slow - so it should break out of the congestion higher - but if they do decide to contract we could find ourselves in a much deeper bear market. Chart looks like it can go either way ...
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