Netflix and Amazon are the Canary’s in the Gold Mine Today
It was a little surprising that the S&P market was as strong as it was yesterday, the high volatility turned out to be an up day.
In essence what we saw play out was a Wall Street run play based around their two darlings, Amazon and Netflix. So watch Netflix today, It started out higher today, a trade under 409 will be a signal on this little side issue to the markets.
In General the 2625 to 2825 trading range on the S&P continues to hold for now with 2722 being the swing point of this Macro sell area.
The Framework for the Macro
We have seen a large pickup of new readers in the last few months. Long term readers know that I tend to take a very long term perspective. This current Bear Market is a reflection of over a two year inflection period from January 2018 to February 2020. Consequently I think this will have many episodes based around a general downward trend that could take years to unfold. The problems are in Washington and are based around a Federal Reserve that refuses to stress discipline. The craziness of 2005 to 2009 has never been erased other than by artificial means.