Jay, looks like market fades tommorow.
Oh now I know the real reason that we soared today? is because the Talking heads at the FED had to change their tune concerning ending QE. Stay with me this is funny stuff..
QE will never end. They might name it something else, but they will continue to use their income from Mortgages and Treasury maturities to buy new Treasuries via the POMO's. Nothing will change. Wall street will continue to get X billion a week to go play with. THAT is why we were up 200 today. The Street heard the best thing they could ever hear.. FREE MONEY FOREVER.
Today we put in a close over that level (12,400) for the first time, which is a signal we could easily move higher. But the Transports didn't confirm today's move and the S&P couldn't get back over that important 1333 level. So although today looked great.. it's not written in stone it's going to really blast off here. As always, be cautious!
Its a US$ devaluation fueled rally... technicals aside till she stops dumping all assets will float higher including stocks.
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