SUNDAY UPDATE: GOEBBELS WINS

“Think China trade deal, and you won’t be far off!”

The pattern in the stock indices should be apparent to everyone … talk up

the China trade deal during the New York business day, especially when

things are turning “red’ … trot out either a Trump tweet, or some worthless

Apparatchik like Mnuchin or Kudlow, and let everybody know how

wonderful things are, and get the appropriate up response in U.S. indices.

Then either at night or over the weekend, let reality set in and everything

turns to shit in an instant. “Now, who’s spitting out bullshit non stop and

peddling it to the trading public”? Dr. Goebbels, call your office or pick up

the white courtesy phone!

And of course, everybody is at the mercy of the HFT algos … the NDX100

moves so “Hoover Dam” fast, when you see the M1 go ballistic [up or down,

it doesn’t matter], you immediately go over to “forexlive.com” and check for

the headline in about 60 seconds … problem is, when you’re in the back part

of an “80/10/10” market like NDX100 right now, you’ve got to be extremely

careful about your buys, and look for the setups that are tried & true from the

past for bottoms. Cuz in case you haven’t figured it out by now, that “10” kills

the “80” in record time, and it has the potential of killing an account.

So why should it be a surprise that after the markets closed on Friday, more

China tariffs hit the news wires? … the manipulations here, at all levels of

media & markets, is staggering in its hubris & contempt for free markets.

Directly below, this week’s 20 Day Range MA’s.

click to enlarge any chart

Gold & silver limp along like the dead bodies they are … as I’ve said before,

these aren’t even markets anymore, just manipulation schemes to set off

MT4 indicators and trap the unwary … point is, they are going anywhere.

A noticeable jump in the SP500 volatility, of course, and if you’re wondering

how it translates to the other 2 major indices, just multiply the SP500 number

by 2.25 for the NDX100, and by 9 for the DOW30, and it will be very close

… point is, they’ll look the same but have different grids, so why be

redundant?

It’ll be interesting to see how the markets adjust tonight to Friday’s after the

close bombshell of more China tariffs, and if China retaliates overnight with

anything of their own. My guess is they let the Yuan devalue to way over 7

and close to 8 by the end of the year, to offset the tariffs, cuz it would be the

easiest for them to do … dunno, we’ll see.

All last week, at the NYSE open, the NDX100 sprinted higher … we need to

see it sprint lower first before the bottom can said to be in … however, we’re

in the “POLS & Apparatchiks paradigm” of trading, and overt manipulation

is very high … you see it almost every frickin’ day in fact, especially when

you throw in the jawboning from government Apparatchiks … let’s see how

this plays out this week. Until tomorrow mi amigos … Onward & Upward!!

Have a great rest of your weekend everybody!

-vegas