if you look at lt chart 1/07 to now, doesn't it look like a huge head n shoulders/next leg big down?
what does Gary Shilling see that we don't? saying could hit 120 or so?
other than massive deflation worldwide and negative money supply growth, which of course are important.
any thoughts? thanx.
Here is the diabolical H&S from Stewart Thomson, perhaps the Riddler of the Gold bug world. I think there is a reverse H&S on the gold chart. We'll see.
>>The problem with Citi is that it still has a insolvent balance sheet that consists to a big part of non-performing assets, delinquent loans, properties not being foreclosed on and thus not generating any cash flow, and other stuff that as others have pointe dout, would give "junk a bad name." Yet what the government is implicitly doing is it is forcing mutual and pension fund money (your retirement capital) to invest in a company which no matter how far of a disconnect from reality its stock price is, is still a hodge podge aggregation of worthless assets. Period. Even Goldman, without doubt a party to the government's charades, could find nothing favorable to say about the company yesterday. Still, the run from $3 to $5 in a month has been exclusively driven by forced short covering as we have reported throughout.
There is no efficient market any longer, there is no market period, that does not at its core have pure welath-transfer manipulation as the primary driving purpose. Citi's existence for a few more years (at best) is merely taking shareholder money and using it to pay for salaries and bonuses of the "managers" of these assets. They already failed once. They will fail again. But at least your restirement money will be used to compensate them just a little longer.<<
>>>While many stocks lifted, three economically sensitive companies we have been closely monitoring remained under pressure again today. US Steel (X-3.16%), Freeport McMoran (FCX-0.47%), and Cliffs Natural Resources (CLF-2.17%) significantly underperformed the broader averages, signaling that investors are selling riskier stocks, perhaps rotating into stodgy blue chip companies such as Johnson and Johnson (JNJ+1.55%). Day traders should anticipate some sort of bounce to materialize in X, FCX, and CLF as their RSI 7 readings of 21.25, 29.55, and 34.5 are at or nearing oversold levels. Once an oversold bounce occurs and prices subsequently take out the lows reached on this swing, a far more serious intermediate decline should commence.<<<
CTA Trading Desk Post-Close Report April 19, 2010
>>For the fact is that much of the financial industry has become a racket — a game in which a handful of people are lavishly paid to mislead and exploit consumers and investors. And if we don’t lower the boom on these practices, the racket will just go on.<<
doesn't it look like a huge head n shoulders/next leg big down? <<
Don't know anything much about Shilling or how high or low TLT will go--I'll leave defending anyone else's opinion to others. I know there have been plentiful blogs and articles about the H&S and I would bet the 62% of total shares held by shorts in TLT know EXACTLY what will happen. We shall see--it makes markets.