[newsletterchapter2 title=”GENERAL MARKET COMMENTS”] Global Equity Markets are trading in the middle of the expected Timing Node and the well noted Date Cluster. ISIS seems to be beside the point. Yellen is still a “Coo Coo” factor. She is easily perceived as just being EZ. Stocks have rallied strongly in recent days which only confirms that the prior Liquidity Gestalt still has a Market following.
The Market Strangeness has continued. Dollar strength has plagued hard asset areas. Treasuries remain doomed but are not ready to really Fall? It clearly appears that the 9/19-22 timing node is going to be a High but let the Ali Baba IPO pass before jumping on any Reversal.
[/newsletterchapter2][newsletterchapter2 title=”MARKET TIMING FACTORS”] Near term timing profiles have lacked absolute cogency except for a defined node of note due near “9/22.” Stocks re now clearly trading up into this which qualifies it as a developing market High. There is still time for higher prices and the Ali Baba IPO and its immediate aftermath is a great candidate for Ebullient Synchronicity.
There are lingering factors early next week so this may take a bit more time to unfold unless and until there is a Key Reversal. Upside could last into 9/24 but I really want to see the trade on 9/22. More defined negativity remains due in the first two weeks of October.
[/newsletterchapter2] [newsletterchapter2 title=”MARKETS AS METAPHOR”]Financial Culture still seems a bit adrift. Stocks are going up into year end? Rates won’t Rise importantly until later next year? The Path to Prosperity seems to be very very clear. Complacency is Dangerous.
[/newsletterchapter2] [newsletterchapter2 title=”RELATED MARKETS”] Noted: “Gold failed to launch when it could have and should have. The strong Dollar is Deflationary.” It is possible that the current turning point could be a Capitulation Purge for Metals. Treasuries remain @ Risk.
[/newsletterchapter2] [newsletterchapter2 title=”THE TECHNICAL VIEW”] With the SPX at the highs, it is safe to say we simply made a wave 4 down with the last bought of weakness.
That doesn’t change the overall count-which is looking for a larger drop once this wave 5 up completes. Watch the 2013-2020 as possible target for a top.