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Measured Move ABCD Example in Mar 10 SPY Intraday

I love highlighting Measured Move Patterns (very similar to flags) in the markets due to the price pattern symmetry and structure - each one serves as a great educational reference of this not-so-common pattern. Fewer people know what an AB=CD pattern is than do a bull or bear flag - though the two patterns are similar

Is The Federal Reserve Insolvent?

With Geoffrey Batt The ongoing troubles at the GSEs are no secret: it is public knowledge that Fannie had a 5.38% delinquency rate at December , while Freddie just passed the 4% threshold in January; both continue to rise rapidly each month. The fact that the mortgage-bond spread has just hit a record tight is merely an ongoing artifact of the Fed's endless meddling in the mortgage market, with the sole purpose of keeping rates artificially low, and preventing banks from being forced to take massive writedowns on their entire loan book.

Fed’s Brian Sack: "The Fed Will Be Embarking On A Tightening Cycle Like No Other In Its History"

From Brian P. Sack , Executive Vice President

GATA Claims To Have Evidence Of "Massive Physical Short Gold And Silver Positions That Can Not Be Covered"

In a letter to the CFTC's Chairman, Gary Gensler , GATA Chairman William Murphy shares the following bombshell: " GATA has evidence that there are enormous physical short positions in the gold and silver markets that cannot be covered. " Even as the CFTC is meeting later this month to establish position limits in the gold, silver, and other precious metals' markets, it could be none other than the CFTC's core banks, and Mr.

Merkel Provides Some Sanity To The Anti-CDS Hysteria

GERMANY MERKEL: CANNOT BAN CDS MARKET OUTRIGHT GERMANY MERKEL: MIGHT NEED CDS MKT CURBS TO LIMIT SPECULATION GERMANY MERKEL: NEED TO CHANGE EU TREATIES TO HELP MEMBERS GERMANY MERKEL: MUST MULL HOW EMU, EU CAN LEGALLY HELP MEMBERS GERMANY MERKEL: POINTS TO NO-BAILOUT RULE FOR EMU MEMBERS IN EU TREATY GERMANY MERKEL: CANNOT RULE OUT NOR AFFIRM ANYTHING GERMANY MERKEL: FINANCIAL AID TO GREECE NO TOPIC CURRENTLY GERMANY MERKEL: DON'T SEE IMMEDIATE GREEK DEFAULT RISK GERMANY MERKEL: SPECULATION PARTLY TO BLAME FOR GREECE WOES GERMANY MERKEL: A EUROPEAN MONETARY FUND IS A GOOD IDEA In the meantime, apparently Sov CDS traders are demanding collateral in gold . Aside that this is news to pretty much all CDS traders, let's dissect this argument.

Looking Back and Forward on the SP500 Slow Creeper Trend

Today showed another example of the theme I’ve been highlighting - literally - on the blog, showing multi-day rallies in the S&P 500.  Today confirms that we are in yet another ‘highlighted zone’ as has been the cycle of the past. Let’s take a look at these regions, the present chart, and what to expect going forward

Must Read: Seth Klarman On The Real And False Lessons From The Financial Crisis, Blasts Government Market Intervention

Via Value Investing Insight .

GOOG Shows the Importance of Watching Prior Price Lows

I wanted to follow-up and highlight an interesting point in the recent price rally in Google (GOOG) - specifically with regard to the price bounce off the key ‘last-support’ level I previously mentioned. It’s an interesting lesson that’s worth repeating - here’s the chart: I had mentioned previously that the $520 level was the confirmation point in the otherwise ominous signs, including a bear flag short-sell entry (red arrow at $545)

Guest Post: The 5% Solution

Via the ever insightful Contrary Investor Art For Art's Sake, Money For God's Sake... No, this is not an homage to the financial archangel Lloyd Blankfein and his flock of chaste and devoted followers on Goldman's prop desk.

SP500 Breakout: Popped Stops or Something Else

It’s common to ask the question when price breaks a key resistance level, “Is this a real breakout that will last, or is this just a short-squeeze situation that won’t?” That’s the operative question now - let’s take a look at the price breakout in the S&P 500 and try to make a determination with the information we have so far. The 1,111 area was key resistance (a key inflection point), being the 61.8% Retracement, a descending trendline, and prior price resistance (late February high of 1,111).