Zeev's Turnips Patch-No Politics (ZEEV)

[chainik]

Z. what makes you think about 2106 being taken away? Here are a few arguments against this:

1. Today we got some extreme readings in intraday sentiment indicators. What did we get in return? 10 or so nasdaq pts on lousy volume, and we are back to neutral. Not a trace of oversold.

2. QQQQ max pain is 38; about 100 K INTC calls at 25 strike. I would bet than INTC won't go much higher than 25 by expiration; QQQQ won't go much higher than 38.

3. Yesterday's action clearly showed than the market hates higher yields on T-note (and for a good reason). IMO rates are going up. Market will tank in response.

My point: rising rates will sink the pig; the path of the least resistence is down. IMO we will not see extreme optimistic sentiment reading before the major leg down.