It appears that the market learned our game and threw us a curveball– or maybe a knuckler. What looked at first like a B wave now is looking like the right side of a V. So we are buying back some of our leveraged SPX positions. Usually we would consider this aggressive, but it looks like prices are not going to test the bottom — at least not on this downwave. Furthermore it appears that market action is ignoring broken trendlines and top chatter and doom and gloom and the Kardashian wedding indicatior and all that stuff which was just for amusement anyway.
And of coures at the end the existential question springs unbidden from our lips — what does it mean? What the hell does it mean, captain? What price glory? (Looks like 1982.43 today.)
But as for what it means, it means that this is probably the bull market of your lifetime. And mine. And George Soros’ (who keeps fighting the tape). What it means for old experienced and savvy pros is that they know too much and can’t believe it. Belief and opinion will always lead you straight down the road to hell. (As the Buddha said, enlightenment is not difficult if you have no fixed opinions.) Believing this a B wave cost us a few sheckels already here.