Irregular Top

This could be what we are looking at an irregular top. Or it could blast past and keep going up. But double tops have proceeded every major down of the last few years. Watch for the double top.



Max Pain looks at call and put options and calculates the point of lowest gains to option owners (minimum pain to option sellers). for QQQQ 38 or 39 are about the same low point, so 39 would be "good enough"

http://www.optionpain.com/OptionPain/Option-Pain.php

Keep in mind all the big moves of option expiry week happen on Monday and Tuesday and maybe a little Wednesday but for the most part the smart money has already rolled forward to a later month, or closed their positions. The other money is sitting on a bunch of out of the money options that they hope will pop into the money with a big end of week move, which frankly just never happens.

Finally, a reply to a poster who was sure helicopter Ben can save the US by printing forever.

Available "money" lets call it, is what allows people to spend. Whether that be credit or real money. Credit itself has never stopped growing through the "Great Recession" (which is now over if you ask the Fed). Understand? Credit is at an all time record and is finally curling over heading towards negative.

Pumping 7% GDP into the economy has resulted in a 3% drop, whereas a 3% gain is normal. In my book, that is a "loss of 13%". 70% of the economy is the consumer, and yet the consumer is saving more than they have in decades, paying down debt, not using credit.

Cash for clunkers was a dismal failure. It was a late night crack hit, that has already resulted in empty dealer lots --like we hadn't learn't enough about bubbles. Sure some vehicle were sold, but the net effect will be negative and not positive, and sure they will probably try something more...until some point nobody will want to loan any money to them, then they will take your IRA and hand you T-bills instead. OK, get it now?

Good solid infrastructure investment well planned that results in future business efficiency and yes even enjoyment for the people (park system) does result in future dividends. Cash for Clunkers was a poorly conceived, too rapidly deployed, and has no future benefit.

Believe what you wish, and please get an avatar, that Hillary is damn annoying.