Two Patterns and their Consequences

http://redhotright.blogspot.com/ ^ | 2009-02-17 | Red-Hot Right

[redhotright]

I have noticed two significant patterns developing.

The first pattern: November 5, 2008 - the day after the 2008 presidential elections, the markets reacted to this news of Obama's win by plummeting. Then, on January 20, 2009 - Obama's inauguration day - markets again dropped significantly. And then, on January 28, 2009, the day that the U.S. House of Representatives first approved the Pork-filled "Stimulus" package, markets posted another loss. Finally, on February 17, 2009, the day that Obama signed the "Stimulus" package, markets yet again showed their disapproval with yet another significant loss.

This pattern of the markets severely reacting to Obama is a clear indicator that investors understand all too well the damage that Obama is inflicting on this country and its financial markets. Atlas is definitely shrugging.

The second pattern: In the 1930s, the government insisted that it was necessary to implement draconian economic measures in order to "stimulate" the economy. As later admitted by economists of the time, their measures failed. Only after resuming responsible fiscal policies was the USA able to fully come out of the Great Depression. In the 1980s in Japan,...

[celtic gal]

You are not alone in your analysis.

[SAJ]

A bit slow to see the pattern, but you're spot on.

Did you also note the reaction in price of: A) crude, B) gold, C) platinum, D) yen, E) the alleged Euro 'currency', and F) Canadian dollar?

Plot those results, seven data points for each date (and, naturally, the dates in-between), and you should have a quite clear idea of the way to trade for the next few months at minimum.

Good trading, and FReegards to you!

[Naspino]

I’m convinced that these people have convinced themselves that 2+2 is 8. The more they talk and the more the media defends the more I come away puzzled. What they believe just defies common sense so one can only assume its nefarious.

[SAJ]

''Finance, if conducted honestly, is a simple matter. Yet, there are always those who believe that, by some mysterious thaumaturgy, 2 and 2 can be made to add up to 20.''

-- Marcus Tullius Cicero, as Consul of Rome, in a letter to Licinius Crassus

[SAJ]

"Never ascribe to malice that which can adequately be explained by incompetence." — Napoleon Bonaparte

These clowns have given no one any excuse to ascribe any competence to them, now have they?

[pankot]

Simple solution for the “One”: Shut down or nationalize the stock market. Don’t be surprised....