.

“It is difficult to get a man

to understand something

when his job depends on

not understanding it.”

.

.

The Banksta Cartel

owns enough

politicians and media

to mute what should be

THE major story

.

JP Morgan

.

.

Too Big To Fail

JPM dropped 18%

over 6 days

on a $2 billion “error”

.

.

A Wake up and

Smell the Coffee Moment

.

Who knows how much toxic debt

JPM or any too big to fail bank has

in the hidden financial markets?

.

  • The 2008 banking cartel meltdown , according to the CBO cost us 50% of 1 year’s GDP/$7 trillion. (Source – MIT’s & IMF’s   Simon Johnson)
  • Panicked  investors ( -18% for JPM) simply don’t know how much hidden toxic debt banksta’s have?
  • Romney, Republicans, some Dems, banksters doing everything possible to keep banking in the shadows – No Dodd Frank No SAFE
  • Ya think JPM could own some toxic Greek, Spanish, Irish debt? Who knows?

.

.

The over leveraging and hidden transactions make a plutocracy rich, powerful and very influential. They label you a socialist if you try to expose their money extraction schemes.

If you made, or are supported by some of trillions extracted from unregulated opaque finance markets you want this to continue.

If you’re concerned about you and your kids paying down $7 trillion in debt or another meltdown you…

.

Wake up and

Smell the Coffee

.

*******************

.

STOCKS

.

Anatomy of

411′s downgrades

&

When do we move higher?


.

.

Trends

.

The Major Trend Cycle Still

Impacting Stocks

Shown by following Chart from Zero Hedge

.

The above trend in the form of

Central Banks = Policy Makers,

Still dominating markets

.

_________

.

.

Anatomy of A Downgrade

You can read more about 411 Strategy in the

Strategy section of the blog

.

  • May 4th’ 411 - “Will Europe drag US markets down?” S&P closes at @1370
  • May 7th’ 411 – Oil Prices fall through support and Spanish bond yields a rise above 6.00% resistance level. Spanish bonds =411′s Canary in a coal Mine for Europe Outlook changes to NEUTRAL.  S&P closes at @1370
  • May 9th 411 “All stock Positions now have a greater downside risk” 411 warns – “If Spanish bonds move above 6.10% outlook will be changed to CAUTIOUSLY BEARISH.” S&P closes at @1355
  • May 14th 411 – In addition to Spanish bonds well over 6.10%, 411 warns of seriousness of JPM meltdown. S&P closes at 1340
  • May 15th - NASDQ closes below 2900 support level. S&P closes at 1330 &  ends week at 5/18 at 1295

.

____________

.

Reading The Tea Leaves

.

.

The Two Major Problems

411 Readers should recognize

this picture


.

.

  • The Yield rate on the Spanish 10 year bond has been our very successful measurement of how well Europe is doing.
  • The bond breaking out up through the 6.00% resistance level was bad and 7.00% is the critical (potential default level for a MAJOR European Country.
  • The second is JPM, covered above.

____________

.

Our McClellan Oscillator has just entered OMG oversold levels at -110.33.

Almost always, over the last three years when it gets this low at least a 5+% rally follows on the S&P. (Last time it was only @4%) The MO’s lowest low last August was -140.

.

The MO can tell us we are really oversold,

but it can’t change reality-

Can the ECB keep a lid on Spanish Bond yields?

How exposed to toxic debt is any bank?

Will JPM stop its slide or will others follow?

.

So JPM’s stock price and

the 10 year Spanish T bond yield

are what to watch


If we had a transparent accounting and markets within global banking, 411 would be telling you to buy NOW.


**********************

,

No changes till JPM stock rises and Spanish bond rates fall

.

Longer Term Outlook

3 months+

.

CAUTIOUSLY BEARISH

.

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

ALL TRADING INVOLVES RISK & POTENTIAL LOSS OF PRINCIPLE

CHECK ALL DATA, I MAKE MORE THAN GRAMMAR  ERRORS.

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