STOCK MARKET TRADERS JUGGLING DYNAMITE AS DOW COLLAPSES TO 12,931 !

THE FINANCIAL EPIDEMIC HAS CREATED A NEW DOWNWAVE FOR THE STOCK MARKET. THE CHINESE STOCK MARKET HAS SET UP NEW TIDAL WAVE OF DECLINES IN THE STOCK MARKET! THE DOWNWAVE IS BASED ON THE FACT THAT THE FINANCIAL EPIDEMIC IS CONTAGIOUS.

THE CURRENT AMERICAN SOLUTION TO THE DOWNWAVE IS TO SELL INTO OPENING HIGHS AND SELL OUT STOCK POSITIONS. THE FIRST 4 HOURS ALLOW TRADERS TO SELL INTO TEMPORARY RALLIES. MANY INDIVIDUALS WILL BE LOOKING FOR FAKE BARGAINS IN THIS QUICKSAND MARKET. THEY WILL LOSE MORE THAN THE INVESTORS.

 THE FINANCIAL NEWS MEDIA IS USING THIS TO ARGUE FOR A SOFT LANDING.   THE REALITY IS THAT THE NEXT 60 DAYS WILL BE TESTING NEW LOWS. 

  THE DOW SHOULD BOTTOM AT 12, 931! WE SHOULD HAVE A DROP OF 2,900 POINTS IN THE DOW. MANY PEOPLE ARE BEING TOLD TO HOLD ON TO LOSING STOCK POSITIONS. THE STOCK TRADERS ARE NOT INVESTOR: THEY ARE REALIST.  THESE POSITIONS MAY TAKE OVER A YEAR OR MORE TO RETURN TO THESE PREVIOUS LEVELS. 

THE REAL PROBLEM HERE IS THE COLLATERAL DAMAGE OF THE FINANCIAL EPIDEMIC. MANY INVESTORS DON'T REALIZE THAT CHINA NEEDS TO RESTRUCTURE ITS INVESTMENT PORTFOLIOS. THE INDUSTRIAL COMMODITIES ESPECIALLY OIL ARE NOT LONGER ABLE TO DRIVE THE MARKET. THE DOWNWAVE IS BASED ON NEW MARKET LEADERSHIP. CHINA WILL NEED TO PUT INTO PLACE A GREAT LEAP FORWARD QUANTITIVE EASING PROGRAM.

 THE UNITED STATES NEEDS TO HIT A REAL MARKET BOTTOM AND NOT A COMMUNIST CHINESE POLITICAL BOTTOM. THE EMERGING MARKET AND DEVELOPED MARKETS ESPECIALLY CAPITAL GOODS MARKET OF GERMANY AND ITALY WILL TAKE LARGE HITS. THE UNITED STATES STOCK MARKET WILL BE ABLE TO BRING A NEW NORMALCY TO THE MARKETS- WHEN IT HITS BOTTOM.