Tuesday, January 22, 2008

Bad Timing Ben

So I was watching the TV this morning when Helicopter Ben announced the rate cut. First off, considering all of the crash talk out there, I was not surprised. After about 10 minutes of letting it sink in, I realized what an lame move this was. I would have preferred a climactic sell-off and complete wash-out. The Fed could have kept their finger on the trigger and announced a 75 basis point cut if things got out of control.

Oh well, easy for me to say.

All this means is that I will short this market at the lower levels of confluence as we have many more weak hands than we would have had if a full capitulation took place.

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