Banning Short Sales 2008 vs 2011
Back in the depths of turmoil at the last crash, short sale bas went into effect for US financial companies and their European equivalents. Well, it's back in some European countries:
Belgium, France, Italy, Spain Overrule European Regulator, To Impose Standalone Short-Selling Bans
This screams desperate, but whatever. Traders were overjoyed at the prospect of support like this. In 2008 this was scary; today it shows the market will be protected no matter the rules in place. Disgusting. It is what it is.
Decidedly Undecided
Not much to say about today, it's been back and forth quite a bit. The kind of monster ranges we are seeing are not usually indicative of a good market. Small chart for a look:
-tight but huge range seen between 1120-1172.
-volume is decreasing; mixed signal. Can mean a bottom is forming as players exit from the game. I like this, means resolution should be coming sooner rather than later.
-1180 still has yet to be hit, and 1200 would suggest real improvement.
Of course I can sum all the market action up easy.
Markets went to crap when Josh Brown and Barry Ritholtz made public they were "lightening up". Today both were either "nibbling" or "scaling in". Obviously this means not only is the bottom in, but strap in for the rocket ride!
Have a good night.
