.

The 1929 Crash

.

.

Presidents [1929]

Calvin Coolidge & Warren Harding

.

Both Shared one Trait -

Leave Business Alone

No Rules, “Free Markets” Ruled

Over leveraged Speculators run wild

.

Outstanding PBS Documentary

The [Banksta] Crash Of 1929

.

60 years later two Presidents

Destroyed the Rules

Regulating Bankstas and Markets

.

.

Bill Clinton & George Bush

.

Both Again supported

removing regulations and

leaving bankstas and “Free Markets”

Alone to regulate themselves

.

Result the 2008 speculative

unregulated banksta bubble bursts.

.

The Great Recession

.

.

So who does a major

political Party nominate

for President?

.

.

Mitt Romney

.

A Banksta/Venture Capitalist

who believes passionately in

deregulation and “free markets”

Just like the 4 above Presidents

.

It took us 60 years to

break the regulations that

protected us the first time

.

Now in just 4 short years

another deregulate “free market”

let business operate in

over leveraged shadows

is running for president.

.

_____________________

.

Solutions

.


Fed Chair – Ben Bernanke

.

Stimulus Works

.

Every time our Central Bank is operating

a market manipulating liquidity dump

Socks soar [Over 100% in 4 years]

.

Too Big to Fail

Banksta’s  are Flooded with Cash

.

The rich get richer in both

the stock and unregulated

exploding $600 trillion casino

derivatives market.

.

The Problem

.

.

It does NOT Trickle Down

.

So when hard working

Bob Cratchit

asks Ebenezer Scrooge

for a Christmas raise to help

.

Tiny Tim

.

.

Ebenezer’s answer is

It’s your fault you’re where you are

“Not a Penny More”

Austerity and unregulated markets

are good for you.

.

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

.

STOCKS

.

.

Trends

.

The Major Trend Cycle Impacting Stocks

Shown by following Chart from Zero Hedge

.




  • Europe – Major trend is many European economies are rejecting sever austerity measures.  Germany (who has the most to lose) is fighting the tide. French & Greek elections Sunday – Anti austerity side favored.
  • Growth of globalized companies in China, like AAPL is are the major engine leading stocks higher
  • Spanish 10 year Bond Rates [411 uses this as a critical measurement of European/world stock market stability] have stabilized over last three weeks just under 6.o% danger zone.
  • Spanish bond rates down  this AM to 5.69% at 8:30 AM EDT. Looks like predicted Socialist victory having little impact on European markets.
  • US Unemployment numbers 8.2% expected with 168,00 jobs created – Actual results Unemployment rate - 8.1% down o.1% +115,00 jobs below expectations. Revisions for March up to +154,000 from 120,ooo for March months. Feb. up to.
  • Analysis –  Worse than expected, but upward revisions better than expected.
  • McCellan Oscillator [411 very successful technical tool in market direction - Tops/bottoms] fell to -1.77. Range for last 6 months is -100 to +60.  Outlook is  NEUTRAL

.

____________

.

Reading The Tea Leaves

.

..

Major Question remains

Can the US market Rally despite the problems

in just about every other major world market?

.

  • Europe’s canary in the coal mine, Spanish bonds need to stay below 6%. It is. A strong resistance level has been established at 6%.
  • Our Fed’s “Operation Twist” ends in June. Traders/Investors/Manipulators need to see that they will continue liquidity dump.

.

Still looking looking decent and perhaps range bound

for May if we don’t have a Spanish yielded problem.

.

If there is no signs of further Fed liquidity, then the late spring meltdown of past two years will repeat.

Fed manipulation is working very well.

The latest incarnation is

Operation Twist that end in June

.

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

.

.

.

YOUR new Stock List

is in Monday’s blog.

.

.

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

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Spanish Bond yield over 6.0% =  NEUTRAL

Under 6.0% = CAUTIOUSLY BULLISH

Oil Prices took a major hit yesterday. Oil is a leading economic/stock indicator. A continued fall to below 200DMA would downgrade outlook.

.

Longer Term Outlook

3 months+

.

CAUTIOUSLY BULLISH

.

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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