Saturday, June 5, 2010

Market Update

Played a great round of golf today and was thinking about the market. I know....why? I am perplexed on what the "real game" is about right now. The "Euro" I doubt...I remember when it was trading 75 cents on the dollar and the market (U.S.) was soaring. I figured it was the top of the currency when "top women models" wanted to be paid in Euros. Good Grief! No disrespect. Here is the word on the street- " A Reset". The bull market from the March 09 lows has been halted. Now we clear the board and reset the game. Actually the Fed is looking to raise rates because bank balance sheets are clearing up ( except for those that converted away from the dollar with the models). The Euro falls; the dollar gains- duh. The "Obama Question" is still in play. This makes Wall Street nervous. Not quite sure what the real "motive" is in here (i.e. the market matrix). Politics aside- are we going up or down? The emotions are high as demonstrated by the VIX (volatility Index). It is too easy to short- I don't like that. The pros want a reason to buy. I say...the street wants to go long....so we use a "cut and run" strategy. This means we buy...and scalp. The short play is too risky right now. My sources tell me "Wall Street" is gearing up for a final run. "Dr. Doom" be dammed...we got one more chance at a bubble and they are gonna run it. Timing is everything. GenX ain't gonna do it. There is 1 more chance at the baby boomers. I think "The Street" is gonna go for it. I don't know how far "The Reset" will play down; however, I don't think much further. We are buyers and scalpers from here on out. Check emails for updates.