Friday, October 17, 2014

Massive Market Divergence In 3 Charts

In this latest update, Mike Maloney shows one of the most concerning data points for today's stock markets: decreasing volume. This is happening while markets are levitated by Federal Reserve stimulus and negative interest rates. "This is not a healthy market. This means that less and less of the real investors are in there, and more and more of this is black box trading. The problem with that is that when the markets change every black box is going to be selling at once, so what is being set up here is probably the biggest market crash in history...Once that breaks, we're going to see pretty much a different world I think."