Since September 24th, the Dow Industrials (shown below by way of DIA) has added thousands of points
because the economy is totally healed and headed for the greatest year ever due to ceaseless asset inflation by the Fed.
Liquidity moves markets!Follow the money. Find the profits!
It’s working. And it’s working overseas, too. The beautiful analog in EEM is dead and buried:
As is the even better setup with the EFA. It breaks my heart to say it, but classic technical analysis simply doesn’t work in a house of mirrors. The inflationary power of trillions of fiat bucks is simply too strong.
It’ll probably fail too, but I will at least mention that Brazil (EWZ) still has a dynamite looking short setup. For those keeping the faith that reality will eventually take hold, the benefit of the explosive move higher in such things as EEM and EFA is that the entry point of EWZ is much better now. (I’d use that price gap as my own stop-loss, even though I’m not going to take the trade).
Wall Street Examiner Disclosure: Lee Adler, The Wall Street Examiner reposts third party content with the permission of the publisher. The opinions expressed in these reposts are not those of the Wall Street Examiner or Lee Adler, unless authored by me, under my byline. I curate posts here on the basis of whether they represent an interesting and logical point of view, that may or may not agree with my own views. Some of the content includes the original publisher's promotional messages. No endorsement of such content is either expressed or implied by posting the content. All items published here are matters of information and opinion, and are neither intended as, nor should you construe it as, individual investment advice. Do your own due diligence when considering the offerings of information providers, or considering any investment.