Morgan Stanley has pointed out that no one knows anything about Trump’s policies. And they have emphasized the condition by comparing Trump’s policies to Schrodinger’s cat. “His policies exist in a state of being both pragmatic and radical at the same time”. Schrodinger’s cat appeared in a thought experiment by Schrodinger used to point out the problems with the Copenhagen interpretation of quantum mechanics, which created the paradox of a cat who was both alive and dead. Never mind. Just accept it unless you are up for a Phd in physics. As for the present market and Trump’s policies, astrology is probably a better tool.
In a prevous recent letter we pictured what happened when the market feared the election of Trump. The market got over it pretty fast and blew away upside. In a world where the cat would have been safe these are strong buy signals. We shall see. It was certainly not a buy signals for bonds which have been slaughtered like baby seals.
Volume and power bars here are strong sell signals.