Risk: The Bailout on the Horizon
Whether it's $12.5 trillion in credit investment risk or China's broken economy, the solution to everything is always the same: More money printing.
Equity Storm Watch Is RED on the S&P 500 and RED on the Russell 2000
We start the week with higher futures after Sunday headlines about a nasty Asian open were overcooked.
We'll start the week with a test of retail sentiment. With index futures pushing into Friday's sell-off, the likelihood of a short-term squeeze, bull trap, or dead cat bounce—whichever terminology you prefer—increases.
This could trigger a mad dash to cover positions, leading to a handful of positive days before turning lower again. Remember to mark the previous session's highs and lows for advanced warning of whether the market has the juice to sustain a rally.
More on this warning in a moment…
Keep reading with a 7-day free trial
Subscribe to Me and the Money Printer to keep reading this post and get 7 days of free access to the full post archives.