From Denial To Depends™

Markets have quickly moved into initial resistance zones that we forecast in Feb/March, and they did it in record speed. In fact, the Dow is exactly the same percentage off the March low as it bounced off the 1929 low…right before the denial ran out of steam, and the Depends came out of the closet (just figuratively, since unfortunately, they didn’t have adult diapers back then). Continue reading

There Is A Season – Turn, Turn, Turn…

The hype-mongers have been in full bloom in the past few weeks, claiming the global and domestic financial disasters are over. Too bad they were nowhere to be found in March, when the season of pain was actually turn, turn, turning to a temporary season of less pain. Interesting that the government announced today that the recession was 50% WORSE than they previously acknowledged! Incredibly, they continue to want us to trust that they are “on it now” and know what they are doing going forward? Yeah, right. Although earnings were better than expected, it’s only due to cost cutting – an accounting game, not actual business operations. Think of it this way: if last October I told you I’d earn 80% on your money, then revised that down to 40% in January, then down again to 10% in April, how happy are you that I returned 13% for the year? Hey, I beat my estimate of 10% by a massive 30%. Don’t I deserve a monster bonus? Uh, no! Especially since the 13% gain was only visible due to accounting changes. Continue reading