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Monday, October 28, 2019

"Pump And Dump" Markets

"Pump and dump" (P&D) is a form of securities fraud that involves artificially inflating the price of an owned stock through false and misleading positive statements, in order to sell the cheaply purchased stock at a higher price.Wikipedia 

Looking back at last week:

The charts looks even worse after Friday's little rally. I suggested Traders' take the day off after such a tremendous trading week, and I attribute Fridays rally to another, "Short Squeeze Friday", and looking for a good entry point to get short this market. Looks pretty rich right here, ahead of the next FOMC hearing, during which I give the chance that the TheFed will lower the short term lending rate, a snowball's chance in hell.

Perma-bull Charles Payne - reported on Friday, that stocks are trading at all time highs. This idiot  has a book to sell, "Unstoppable Prosperity", so consider the source. New high on the $SPX don't mean much when it's a hopelessly rigged index, which just happens to contain FAANG stocks, which are some of the most heavily weighted to the $SPX, and now you know why the acronym "FAANG", was created. These stocks were hand picked, because the Powers That (shouldn't) Be, knew it would lift the entire market. Total scam, perpetrated by certain people in the financial fake news, and the usual suspects, who have been seen colluding, and pushing the TheFed's false recovery narrative since the crash of '08. Look, the banks were bailed out with tax payer money, mark to market done away with, and shorting of financial stocks banned, so there was never anything normal about this so called "recovery".  It was just a means to manipulated the market, back to "getting back to even", levels, and that's where you see most stocks trading. For instance: Take a look at home builders, testing the '07 high.

This morning                        

Heavily ($SPX) weighted Microsoft is up on news, that government insiders have probably been trading off, for who knows how long?  Anyhow, that's also helping to lift futures.

The trend is sideways to higher in a narrow range - Maybe it can hit $145?  Maybe it can overshoot?

Pumped and dumped Google, Micron, IBM - I wanted to cover these 3, but I've run out of time.

Others continue to be pumped. AAPL MSFT The rigged $SPX  $VIX hammered - covered most of this.

 Mutual fund Monday: Seeing some dumb money put to work this morning. Typical. This is where you see the smart money sell, and my indicators are flashing red here. I can't reveal where I'm seeing these indicators, or what they are, for free, but make a $100 donatoin to the website, and I'll be happy to....

Good Luck this week,

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