She knows how hard her heart grows under the nuclear shadows
She can’t just escape the feeling repeating in her head
When after all the urges some kind of truth emerges
We felt the deadly surges discovering Japan –Graham ParkerÂ
Happy Halloween!
The shorts are certainly getting a scare this morning as the BOJ hands out another $124Bn (yes, we did the relative math in this morning’s Alert to our Members) and that was more than enough to pop the Nikkei 5% in 90 minutes, with the /NKD Futures now testing 16,850 – almost catching up to the Dow for the 3rd time in 2 years. Â
Unfortunately, each time the Nikkei has matched up with the Dow’s gains, it’s marked and overbought top and led to a sell-off so we were forced to officially reverse our long call on Russell Futures (/TF) from yesterday morning’s post and flip short at 1,169 (with tight stops over 1,170).  That’s OK though because a move from 1,132.50 to 1,169 on /TF is a profit of $3,650 per contract – not bad for a day’s work, right? Â
See, I told you we could pay for your trip to our Las Vegas Live Seminar next week with a Futures trade! Â
Not that we advocate holding Futures positions overnight – it could just have easily gone the other way.  That’s what Wednesday’s TNA spreadwas for – the longer-term long position on the Russell, which will pop TNA well over our $80 goal this morning – that trade has a 316% profit potential in less than a month!Â
Notice how we’re popping out of the channel. Â It would be one thing if we were doing it based on US earnings but doing on Japanese stimulus, coming at the last day of the month just rubs me the wrong way and we’ll be beefing up our shorts over the weekend to prepare for the post-election sell-off next week. Â
Meanwhile, back in the real World’s economy, German Retail Sales were TERRIBLE just now plunging 3.2% in September, the worst monthly drop since May of 2007.  THAT’s what’s REAL in the economy – it’s just being masked by endless stimulus:
