DrStool Posted March 12 Report Share Posted March 12 Higher lows and higher hize, gize. But keep an eye on 5130 as of 8 AM in NY. That looks to be trend spport. If it breaks they could settle into a range with the next spport line around 5105 turday. But if 5130 holds this morning, the next target would be 5150, and if they clear that, then 5170 today. The moon, Tamara. Market Flies Blind in Thin Air For moron the markets, see: Market Flies Blind in Thin Air March 11, 2024 Swing Trade Screen Picks – What to Do With Profitable Week Behind March 8, 2024 Gold Sets Up for Major Breakout March 6, 2024 The Magic of Rising Stock Prices Driving Liquidity, Driving Prices March 4, 2024 Tax Collections Took Off in a Stunning Reversal in February March 3, 2024 We Don’t Need No Stinkin’ Fed – We Make Money from Nothing February 26, 2024 If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam folder. Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 Remember. Inflation is bullish. Disinflation is bullish. Deflation is bullish. Flation in bullish. If somebody farts, buy! That is all. Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 The Magic of Rising Stock Prices Driving Liquidity, Driving Prices Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 5 day cycle projection 5180 Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 5185 by lunchtime or bust. Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 Lunchbreak sellers. Link to comment Share on other sites More sharing options...
SiP Posted March 12 Report Share Posted March 12 on the road to 5368, then maybe 5600. Link to comment Share on other sites More sharing options...
SiP Posted March 12 Report Share Posted March 12 "Fed pivot or not, liquidity is on the rise again. Overall liquidity, as defined by the Fed’s balance sheet, less reverse repos (RRP) less the Treasury’s cash balance at the Fed (TGA), has been rising since mid-2023, taking stocks with it." - Jurrien Timmer Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 🤣🤣🤣 That is not "overall" liquidity. RRPs are quintessentially liquidity. They've been funding the rally. Sure, deduct the Treasury cash balance. But what happens when it gets spent. It's deferred liquidity. It's also current liquidity. Treasury issuance is money. It can be instantly flipped into a repo at 97 cents to the dollar. The increase in the Treasury balance over the past year was driven by issuance of Treasuries. The rest of the Fed's balance sheet (aka its assets) has not been growing. So there's something very wrong with that chart. I have no idea what he did there. Of course, total liquidity and stock prices correlate, but which came first the chicken or the egg. With the Fed steadily shrinking its balance sheet it should be clear to everyone that rising asset prices create their own liquidity. I got a report coming in an hour or two that will make clear how that works. Stay tuned. Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 Markets Create Money, Money Talks, Markets Listen Etc. LEE ADLER 1 - LIQUIDITY TRADER- MONEY TRENDS MARCH 12, 2024 The Fed’s weekly real time balance sheet data and its slightly lagged data on the condition of the US banking system are inching closer to suggesting an end to the stock market rally. But they aren’t there yet. It could still take weeks or months. It’s better not to attempt to anticipate. Money talks, and markets listen. Non-subscribers, click here for access. Subscribers, click here to download the report. Markets also have the ability to create their own money. And that’s what’s been happening in this bull run. The Fed and its cohorts are not the drivers of this, as they were under the 12 year QE regime. Non-subscribers, click here for access. As animal spirits take hold, eventually they turn into manias. And manias create their own liquidity through the magic of leveraged borrowing. As prices of stocks rise, a cycle of rising prices creates more collateral for borrowing, leading to higher prices, and so on. Non-subscribers, click here for access. Of course, manias ultimately lead to crashes. But they continue until they are exhausted. We look for signs of exhaustion both in the technical market data, which I report in the Technical Trader reports, and in the liquidity data that I report here. In this report, I show you exactly what the charts of the data are telling us to expect in the weeks and months ahead. If you know what’s coming, then you can formulate your own strategy and tactics accordingly. Non-subscribers, click here for access. As I wrote last week, “The end may come quickly, so we need to be prepared and vigilant. Complacency is the trader’s enemy. We must guard against that…” Non-subscribers, click here for access. Get the report now, for specifics. Non-subscribers, click here for access. KNOW WHAT’S HAPPENING NOW, before the Street does, read Lee Adler’s Liquidity Trader risk free for 90 days! Act on real-time reality! Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 7 hours ago, DrStool said: But if 5130 holds this morning, the next target would be 5150, and if they clear that, then 5170 today. The moon, Tamara. Market Flies Blind in Thin Air Uh huh. Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 4 hours ago, DrStool said: 5 day cycle projection 5180 So now we'll call it 5220. Link to comment Share on other sites More sharing options...
DrStool Posted March 12 Author Report Share Posted March 12 Link to comment Share on other sites More sharing options...
SiP Posted March 12 Report Share Posted March 12 Cvna, carvana What an amazing run. Link to comment Share on other sites More sharing options...
SiP Posted March 12 Report Share Posted March 12 It's over Inverted yield curve no longer reliable recession flag, strategists say https://www.reuters.com/markets/us/inverted-yield-curve-no-longer-reliable-recession-flag-strategists-say-2024-03-12/ Link to comment Share on other sites More sharing options...
Recommended Posts