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Strategies & Market Trends : General market lab and commentary
SPY 683.47+0.6%Nov 28 4:00 PM EST

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From: A.J. Mullen1/21/2016 11:28:17 AM
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pgo-neil
scaram(o)uche

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I was impressed by Didier Sornette's "Why Stock Markets Crash." He has a group at ETH (Switzerland) called the Financial Crisis Observatory, er.ethz.ch. Their New Year report was was reassuring that there were few "positive bubbles" out there. They use some math to determine when rises are too fast to be sustained - those instances are defined as bubbles.

Well we've had one hell of a sell-off. Either they were wrong or something (China and/or oil) triggered this. I don't think fundamentals are that bad and expect to see their next report declare this period to be a "negative bubble." I've been buying this morning. I have more dry powder if I'd paid more attention to Jon in December.

Ashley
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