[newsletterchapter2 title=”GENERAL MARKET COMMENTS”] The BABA Reversal was the Tell of an interim High, as I allowed. The current viral cascade of negatives usually culminates in a Capitulation. We are in that zone. But, Extreme Sentiment does not, by itself identify a Low. Timing patterns and cognitive conditions are equally important. Investors are shocked. Talking Heads do not want to know what they do not know.
This is actually a normal and lawful Correction. Who knew there as a cogent profile for a 9/19 High followed by a Black Hole due near 10/13? Hello, Someone did. That was a great trade which is now over. Fundamental stories and Rationality are supposed to rule? They don’t. Markets are always under the influence of Energy patterns. That is: Markets are ruled by esoteric noumenal indicants rather than phenomenal fundamental tales. This has been a wonderful market episode. Enjoy.