THE MOST UNSUSPECTING RALLY IN THE HISTORY OF THE WORLD?
If this is the beginning of another massive leg-up for the markets it will be the most unsuspecting in the history of the world. I'm saying this because the technical base from which this rally has sprung has all the makings of massive failure written all over it. Anybody who has been studying charts for more than a week can see it.
Usually I'd be in love with the concept of being bullish in the face of a rally that looks technically incomprehensible. I like being a contrarian. I think you have to have contrary expectations in order to succeed in the markets. Just like anything else, there is a time and place for it. I don't think this is one of them.
As much as I want to say that all the technicians out there who are studying obvious chart and volume patterns will fail miserably. And as much as I would love to say that what is obvious is obviously wrong...all the time. This is going to be one of those cases where what is obvious is obviously right.
This rally will fail and all the technicians who are seeing it for what it is will be proven correct.
I will be posting an article over the next couple of days specifically outlining my reasons for bearishness in the days and weeks ahead.
In the meantime, leave your cape at home superman.
