Posted on 12/06/2013 4:55:54 PM PST by whitedog57
The S&P 500 stock market index rose a blistering +1.12% today on positive economic news, albeit much of it seasonal.
The run up in stock prices following the collapse in 2008 (both stock market and house prices) has fueled speculation of another Hindenburg Omen event. That is, another stock market correction.
But with Ben Bernanke and The Fed supporting asset bubbles with the expansion of The Fed’s Balance Sheet (green dotted line), investors continue to roll the dice on the stock market rising.
Likewise, the Elliott Wave is being sustained by The Fed’s Balance Sheet.
Let’s see what happens when Janet Yellen is faced with the problem of tapering and selling the massive Fed Balance Sheet.
20,000 Dow by the end of the decade. Maybe 2018.
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