If there’s nothing to say, don’t say it…

Posted on Apr 07, 2017 by in Letters

http://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=0&mn=6&dy=0&id=p70142979615&a=266398464

We generally regard the sentiment expressed in the title as a religious principle and we have been in a state of religious ecstasy for quite some time.  After all — over 100 days during which the SPX does not move 1% is a freak show statistic, and what do you say when paint is drying?  Go Paint, go!

Even bombing Syrians has not been sufficient to rouse the sleeping dragons.  We attribute much of this to investors wanting real fundamental action.  Where is the infrastructure program?  Where is the tax reform?  Where is the health care  (Trumpcare)?  After all any clown can start a war, and that is generally enough to ginn up some investing interest.

But …Isn’t it rich? / Are we a pair?/ Me here at last on the ground /You in mid-air/Where are the clowns?…

A little known last line ripped directly from Marx…Don’t you love farce?/My fault I fear/I thought that you’d want what I want/Sorry my dear…

During these tedious doldrums character is tested.  Can you sit through the farce until the logjam breaks?

Of  technical note the SPX is in a modest downtrend.  The PnF chart reflets it, looking for a target of 2311.  This may result in a buying oportunity in the not too distant future:

http://stockcharts.com/freecharts/pnf.php?c=%24SPX,PWTADANRNO[PA][D][F1!3!!!2!20]

In the meantime get a clown hat and learn the lyrics.

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