Stocks and Precious Metals Charts - Cryptic Valuations and the Bubble From Hell - At the Quiet Limit of the World

 

"Here we may reign secure, and in my choice
to reign is worth ambition though in Hell: 
Better to reign in Hell, than serve in Heaven."

John Milton, Paradise Lost 

 

“Evil when we are in its power is not felt as evil, but as a necessity, or even a duty.   Sin is not a distance, it is a turning of our gaze in the wrong direction.." 

Simone Weil

 

"...old as Babylon, and evil as Hell."

Edward Abbey

 

"Foolishness has a knack of getting its way; as we should see if we were not always so much wrapped up in ourselves.  In this respect our townsfolk were like everybody else, wrapped up in themselves; they did not believe in plagues." 

Albert Camus

 

We are back in a bubble that is strikingly similar in size and sentiment ot the dotcom bubble at the turn of the century. 

This struck me very hard today while I was watching financial tv, and listened to a discussion of the cryptocurrency markets. 

Sometime in the next two years, and with a good probability of later this year, we are going to fall back down into the plunge pool of reality. 

The cynicism with which people approach most things now is almost incredible. 

I am now very alert, and have structured my portfolio and my general life more defensively. 

I have taken most profits.   I employ no leverage.

Am I being overcautious?   Yes I think I probably am.

Especially compared to those who are chasing risks with abandon, and begging to get skinned.

Have a pleasant evening. 

 

Stocks and Precious Metals Charts - Mavens of Complexity

 

The Lord has told you what is good,
And what it is He requires of you;
Live with justice, love with kindness,
And walk humbly with your God.

Micah 6:20

Like so many things the message to us is clear and simple.

But we like to complicate things, to overwrite creation with our willfulness and pride.

This false complexity is the very hallmark of a fraud.

Interesting stock option expiration.

The lower yield of treasuries has caused the dollar to weaken. 

Gold and silver have run up to key overhead resistance.

They need to go the next step higher in order to confirm a bottom and rally.

We may see some backing and filling, first, and perhaps a test of the precious metals bulls' resolve.

Gold and silver are now trading like currencies.

Have a pleasant weekend.

 

Stocks and Precious Metals Charts - The Everything Rally

 

“The second factor contributing to speculative euphoria and programmed collapse is the specious association of money and intelligence.

There can be few fields of human endeavor in which history counts for so little as in the world of finance.”

John Kenneth Galbraith, A Short History of Financial Euphoria

 

"I'll give you the bottom 10% and the top 10% of any move if I get to keep the middle 80%." 

Bernard Baruch

 

“Big movements take time to develop.”

Jesse Livermore, Reminiscences of a Stock Operator

 

Stocks were on a tear today with the SP 500 and the Nas100 setting new highs.

The big cap techs were leading the way.

Gold and silver rallied strongly as well, running up to the overhead resistance that marks the top of the current trading range.

The Dollar was off a bit.

Despite very good economic news Treasury yields were off a bit.  

This was the major catalyst for the rally.

Tomorrow will be the option expiration.

Stocks look extended.  They can get even more extended.

Have a pleasant evening

Stocks and Precious Metals Charts - Shenanigans

 

“Be kind, for everyone you meet is carrying a heavy burden.” 

Ian MacLaren 

 

“The books which the Holy Spirit is writing are the living, with every soul a volume in which the divine author makes a true revelation of His word, showing it to every heart, unfolding it in every moment.  

There is not a moment in which God does not present Himself under the cover of some pain to be endured, of some consolation to be enjoyed, or of some duty to be performed.  All that takes place within us, around us, or through us, contains and conceals His divine action.  All simple souls must admire and respect one another, saying: 'Let us each proceed along our path to the same goal, united in purpose and by means of God's order which, in its great variety, is in us all.' 

To escape the pain caused by regret for the past or fear about the future, this is the rule to follow: leave the past to the infinite mercy of God, the future to His good Providence, and give the present wholly to His love by being faithful to His grace.” 

Jean-Pierre de Caussade

 

More of the same. 

This will probably continue until the option expiration. 

Cryptocurrencies are tulip bulbs, without the practical beauty. 

At some point the reversion to the mean is coming, and it may be a rough ride. 

Have a pleasant evening.