SP500 Warning Shot
We have witnessed on many occasions the audacity of complacency, damn that should be a book title! Anyway Magnelibra prop indicators have been flashing and we took a stance and offered some recognition on the reflation front should be coupled with some Nasdaq weeklies for protection. Anyway today’s equity markets once again continue to expose the underlying gimmickry that goes on and the market could unexpectedly tumble given the lack of real support other than global central banks.
What’s strange is that this all is coming down where we are about to get a deluge of US treasuries and the massive amount of capital required just to keep this pig floating, well let’s just say is becoming comical. The GameStopper shout out yesterday was just a punch at the obvious of what we have known from spending 2 decades within these confines. There are no holy grail programs, there are no secret sauce tactics, only players and balance sheets and those with the most cake, get the most frosting, period! Been that way for eons, so without further adieu, here is the only chart we need to post today:
Yea it looks like a decent drop but its really nothing, hell its not even negative on the year. However we must note that we have seen this story before and no doubt Northman Trader will be loud and clear about this set up…He points out the obvious technical parameters and makes it very clear that this is nothing more than too much butter chasing not enough bread and we all know whos pockets that bread is going to. Yep those same fools that have the power to stop one from buying or selling certain items because it doesn’t fit the narrative.
Anyway take this weekend to contemplate and think back to early Feb. 2018, we all know what happened then, if you don’t well, look it up, unfortunately this has the inklings of a very similar ilk, we know how much that stung back then, and are quick to see things are setting up once again like someone is caught here and caught long and wrong, even worse probably short VIX and levered with short SP Puts…Gamma much…
Till next time…
Alright that’s it, we will post our settles when today washes out, for now think about joining the ranks that subscribe and get our thought process when we see things that are relevant, that matter and not just the BS fluff you get everywhere else. Your support is greatly appreciated. We write about the equivalent of one book a year on this site and the volumes we speak should transcend a lot further than these pages. You should be able to implement a lot of this into your game plan not just in trading, but in all walks of your life. We are in this together whether you believe that or not, it doesn’t matter, we are all connected, so stay positive and know your atoms do have an affect on everyone else around you, so STAY CALM and SIGN UP TODAY!
-Magnelibra Econemotions
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