The chart shows my beautiful Inverted H&S bottoming pattern that Mr. Bernanke decided was not to be in 2010 when he outlawed illiquid markets and made us all a lot of money.
What does this chart tell us today? Well, GSR (rising market stress) was stopped at the resistance zone we have been taking note of since it bottomed in 2011. A break above that resistance means some real trouble. Not only has GSR remained beneath resistance, but it is now breaking down on what it thinks it knows policy will be in the near term (before the end of 2012?).
Things are really getting interesting.
Hey, have a great weekend.
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