The S&P500 is set to open at a new all time high. However there isn't confetti falling from the ceiling. These stock market gains are all pea paste burgers, without the test tube juice. Yep. These gains are not real....
Without the assistance of every Central Bank this side of the Gamma Quadrant, the S&P500 might be trading more than 50% lower than it is today, I've been saying this for over 10 years. The FED's finger prints are all over this.
And yet I've come to embrace the upside. It's raining out.... I may not like the rain, but I'm not going to leave my umbrella home because the rain sucks.
And at the end of the day I'm not going to look up at the rain and curse it out. I can not control the rain. Thankfully I can control my umbrella usage.
It's been raining free money for over 10 years. Yet the bears refuse to bring an umbrella. And thats a good thing. When everyone is long this market.. that will be as good as any signal the top is in. Right now... there is no confetti. No celebration. It's just another day with stocks hitting new record highs. In the face of everyone who didn't bring an umbrella today.
I bring you this chart.
Looks pretty bearish no? and yet why when its flipped the bears still bearish on it? $SPY ... anyway.... when you think interest rate cuts are bad for the stock market a bullish chart is never going to look bullish pic.twitter.com/S7NQ6GhJWa
— UPBOptionMil (@UPBOptionMil) June 20, 2019
It's all about perspective.
Your pea paste burger with test tube juice is another mans fried liver sandwich.... if that means anything at all to anyone... (cue thinking emoji) (cue giant question market emoji)
Anyway...
$SPY $300 is almost here. I've had my umbrella this year. And even near the lows in May and January I stuck to $SPY $300+ this year. Trade wars, tariffs..... you name it.... plenty of excuses to sell. Plenty of excuses to stand in the rain and try to stay dry.... and $SPY $300 is almost here.
Here is what I've been saying the last few months about this market :