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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (169961)	3/28/2021 12:10:49 AM
From: sense	Respond to of 219833

"You are correct, major all-time highs unfold when everyone who has ever thought about buying has bought. We are not at that level and..." Really ? How does he know we're not long past the point when "everyone who has ever thought about buying has bought" ? I think we're way past that point... where the smart money has mostly left the game, or gone short... leaving the buyers still in the market now... far more buyers than they are thinkers. The real problem is... the market isn't allowing the buyers to leave... they're being forced to keep buying whether they want to or not... as the core function of QE,,,that operates to keep asset prices higher than they would be in a free market... and sustains higher asset prices at taxpayers expense. This time is different... because... In prior markets, we had price discovery... now, we get the Fed buying stocks to keep the market up... because policy is based on "wealth effect" that depends on keeping the market up... We've been in a recession since 2008, perhaps 2001... its been broken that long... and rather than fix it, which Trump policy was on track to enable before the virus... they just keep breaking it more and more... so, now, no one really knows where the market would be... if the artificial pricing regime ended and we returned to a legitimate pricing model... Market participants are being conditioned to believe markets always and only go up... and declines are short lived and inconvenient by mostly harmless events... as 2020. Saw that same influence again this last week, in spades... as the market begins rolling over... as it did this week... suddenly stocks stop and go up instead of down because... no reason... panic buying... because they're just not allowed to go down... So the issue is... maybe we're not at "an all time high" in terms of price at the peak of one bubble vs price at the peak of another bubble in absolute free market terms... but, as we don't have a free market... and don't have price discovery... and we are instead nearer to the bottom in a depression that rivals 1931 / 1932... only with stock prices still at pre-1929 levels ? I'd say there has never been a larger disconnect in any market between intrinsic market price and the posted price... except, perhaps... in silver... in the inverse. What we are at an all time high compared to... is a market with legitimate price discovery.