by John Galt
December 4, 2017 21:20 ET
Well, you took the click bait so let me give you my rant before making your eyes hurt with today’s market action.
Granted, I live close to one of the most beautiful and popular beaches in the world at Siesta Key, thus the dress code is somewhat lax, especially during the season when the northerners and Europeans invade. But for Pete’s sake people, especially you old guys, do not wear speedos or other European swimwear thinking you have a body like Borat with your calf high black dress socks and loafers. It is not a good look.
Which reminds me of today’s market, something which has been seen and can not be unseen also.
Technically speaking this was not a good sign no matter the pumpers in the White House and on the various bubblevision financial news networks. Why? Check out this market action (chart courtesy of Investing.com):
Even though the Dow finished up 58, it was up over 300 earlier. The NASDAQ was down all day long and the S&P 500 also gave up its gains and rolled over to finish down about 3 points. The change in this market action versus the post-Trump election period is that instead of holding the gains, it rolled over and sold off on volume. This could be a seasonal hit or warning about something worse in the future, it is too early to tell.
We survived the danger period from August through October which means when that big black swan does land on the equity markets, it will drop a turd which will crush the average investor with no warning. In the mean time, enjoy the holidays, drink some egg nog or bourbon, and watch what is happening with a cautious eye. Because any overseas disruptions in Korea or within the Middle East could trigger a major market event without warning.
In the mean time, please dress appropriately. Especially at our beautiful Florida beaches.