11/18/10…can you spare a band-aid?

…as long as we don’t run out of band-aids we can still generate rallies. Does anyone seriously believe that the EU bailout of Ireland is a solution?...much less Greece! Yet we try to convince ourselves that all is well – again…and again…even as Rome crumbles (note we haven’t heard a word about Italy’s problems…because that is unthinkable!).

Yesterday’s stock market had no less than 21 changes of direction, 8 of which took stocks into the black…and TB is being kind as many of them were for mere seconds. The Dow traded between the 40 day (11074) and the 50 day (10979) as traders (sic) tried to decipher direction based on little volume again as Tuesday’s 1.35B reverted to 943 million shares. While Advance/declines were back to positive…barely, and Breadth also turned mildly (being generous here) so, new 52 week lows beat new highs for a second straight session by 71 to 68…we haven’t seen this in months!...even on days when the market was down from the open and never saw the black all session!

We so desperately want the world to be a safer place and economically sound yet the OECD lowered its growth target again…is this a sign of a vibrant economy? Even with a weak dollar our exports are scarcely growing while imports contract to improve the trade balance…marginally and magically. But are we back from the abyss? A strong NO!

We see gains in indicators as positive but they are from such low levels and lack hiring to accompany them that they are meaningless…if you fall into a well and hit the bottom and live that is a good thing…but it still doesn’t get you to where you can pull yourself out of the hole. That is where we are today with a bunch of misfits of three parties GOP, Dem, and Tea all running around in circles without so much as an hour to slip slurpees with the President who is obviously looking for and lacking in direction. Pity the freshmen two years from now when the American people are really fed up! Desperately seeking a real and strong third party. Instead we are running around denying the need to raise taxes on hedge fund managers (15%), and the top 1-2% of taxpayers instead putting more band-aids on things like removing earmarks ($150B), cutting social programs (in a near depression???), and the military (while we insist that we must remain in Afghanistan…further squandering our resources, while the Taliban sips tea waiting).

Those are surefire solutions right? Wrong…they are tantamount to disaster. God help the United States of America…or is it ‘save’ it…from within?

. . . - - - . . . . . . - - - . . . (S.O.S.)

Have a good day….but don’t stop shaking your head in disbelief.


Trader Bill thinks it is clear to anyone reading these missives that they are merely commentaries...as he sees it...and do not necessarily reflect the views of anyone other than his own. Information is gathered from sources he has found reliable, but no guarantees of accuracy are implied. These are merely observations of events in the marketplace offering in an attempt to offer a non-mainstream viewpoint. Copyright TBD Capital LLC, November 18, 2010.


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