Soros on the U.S. economy…

The balance between the United States’ high consumer spending and its growing budget deficit is unsustainable, even in the short term, billionaire fund manager George Soros said on Wednesday. “We spend 5 percent more than we earn and we have a budget deficit of 5 percent, so I don’t think it’s terribly sound,” Soros told a meeting of students in the Irish capital. “I don’t think it can be maintained in the longer term. I don’t think it can be maintained actually even in the shorter term.”


On goals

Don’t let other people tell you what you want.
-Pat Riley, former pro basketball coach

Time to crank up the fear factor…

This is a 2-day 15-minute chart with a 50-bar EMA and an OBV indicator.

Oops… gap up on the open… set the day’s high before 10:00… cross the flat line a few times and give back 100% of the unimpressive 3-hour rally in the last 30 minutes… humm… not what the bulls want to see. About the only positive is the fact that yesterday’s low served as support and OBV (or use RSI, if you prefer) made a higher low (divergence). Problem is that late-day selling… Think some people are gonna have to get scared here… nothing like a cleansing capitulation to refresh!

People are starting to notice…

That a risk premium has been factoring into the market since January 26th…. gulp. Well, that’s what happens after a year-long rally that pretty removed the “oh shit, another Iraq war” risk premium. And it just so happens that Jan. 26th was the day word got out that the Fed changed it’s policy stance and the smart money began distributing shares into the rush of mutual fund money… because it’s time to begin discounting a rise in interest rates and inflation. Naz getting some support at its 200-day moving average, but it’s still a good time to have some dry powder!

So this is my new home???

My brand spanking new blog… feels kinda like when you move into a new apartment or house and your friends just left after helping you move all day… and you look around at the empty walls and rooms full of boxes… and then you stay up all night unpacking and hanging shit on the walls and playing all the cool CDs and tapes that you haven’t listened to in years and your new pad starts taking shape! Very cool!