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Before You Know It - February 29,30,31, 2021


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Wake up.

Get out of bed.

Turn on your screen.

Your shorts are dead. 

That said, this is barely a 50% retracement, which is at 3860 on the ES fucutures. There's also resistance at 3855. Above 3860 resistance lines come at 5-7 point intervals up to 3900. 

tvc_fd67d31c5b963425d32f326c0025847d.png
Click to engorge.

Round and round she goes, where she stops? I don't have a 5 day cycle projection yet. Zooming in to 30 minute bars, we see a 2-3 day cycle projection of 3883. No doubt, if they get that far, they'll get to a test of the high. The conventional measured move target of a breakout from this base at 3860 would be around 3920-25. 

tvc_7339f570d9bdea7aef4b45a7e3be4f72.png

But alas, it is only 4:30 in the AM in New York, and no one has seen this, or the fact that as I write, the ES is teasing a break of this new uptrend channel at 3849. If they can get it below 3843, da bearss could take charge again. 

Meanwhile that $96 billion in cash that the Treasury pumped into the accounts of the holders of expiring Treasury Bills that it did not roll over, is working, apparently. They've gotten the 10 year yield down from a panic high of 1.61 on Wednesday to 1.42 now.  

But the Treasury is settling $139 billion in new coupon issuance today. That should be good for a little puking today. Then on Tuesday and Thursday the Treasury has already scheduled rescue injections of another $55 billion. 

It's gonna be a chaotic week.  

Last week’s selloff did less damage than it may have felt like. The drop stopped in the area of 3 crossing uptrend lines, ranging in length from short term to long term. Here’s what would tell us whether the uptrend is still in force, or signal that something evil this way comes.

I have added 8 new stocks to the swing trade chart pick list, including 2 shorts.

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Meanwhile, here's some free stuff I've written about this unfolding catastrophe. 

US Treasury Injects Another $30 Billion Into Market

Treasury Announces It Will Inject ANOTHER $25 Billion For $125 Billion Weekly Total

 
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49 minutes ago, MisFit Kid said:

How many holes does it take......?

>: E-bay has cancelled their E-Bucks program......

"After careful consideration"........

??? 😕

 

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20 minutes ago, DrStool said:

2-3 day cycle projection 3885. 

Just wait until the Fed announces its not QE, active management of the yield curve.  There is zero popular or political opposition to this by the way.  Everyone wants more money.  However it seems to me that then nobody in their right mind would then buy Treasury coupons as the real interest rate will likely to go hugely negative.  Well one problem at a time. As I've said for years, at every possible moment the answer is always more ease, more money, so the system can survive another day. 

On a little longer time frame the likelihood that there won't be a United States or US Treasury would seem to discourage investment in its debt but what do I know.

https://www.nbcnews.com/think/opinion/pro-trump-republican-secession-rhetoric-texas-elsewhere-more-punchline-ncna1259016

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