Sheer Stupidity

Surprised by my post title? I will explain. You all might have noticed the sheer volatility today in the markets. Intervention after intervention by the authorities and the governtment - Insane volatility in the markets. The DOW acted like our own markets...LOL..First time I have seen anything like it..

The latest from the authorities, they are gonna ban all short selling..Ofcourse this is not yet confirmed BUT its amazing...Any fool in the market knows that we NEED shorts for the market to run...Thats how efficiency is built in and that is how short covering rallies come up - It lends a bottom to the market!...Remove that and what do you have? You kill half of the market turnover and also open up a HUGE HUGE crash possibility. Why? Because the FLOOR in the market is removed!...No shorts mean NO floor..!..I hope I am making sense. I said in past couple of posts we are entering into unprecendented times...This is the demise of capitalism..Pure and Simple.

Okay now that I have vented....The markets, I am glad I went flat yesterday night..I see this as another good opportunity to build some shorts...I am looking to short today at 4250 levels with hedges in option calls so I can cash out if this volatility continues. I will continue to add shorts next few days as I think we will top out in 1-2 days. Now this is just my gut feel and also based on the wave structure as I see it...I still do not have my charting service back together so no charts...But you got the idea. Dont get carried away today by all the bullishness.

Best.