JOBs REPort hAMMERs the mARKket, June 3nth (closing bell)

One of the yahoo interviews [finally] said, the election is looming large, because the Dems need to do something about inflation before November. My guess is they may blast Putin to smithereens to get the economy off the tracks. But first…

Those little twin shadows near the open look like something and so far they have framed the volatility. Don’t know for how long, if you are trying to shoot these rapids. Good luck. I do think that large trend line is more solid than it was, framed by those twin purple lines. The Jobs report did not reveal any movement on the part of Corp Am to cutback on new job openings but the FOMC minutes defining that goal were just released a few days ago. Give it time.

The problem is not the new jobs it’s finding people to fill those jobs, without shipping those jobs offshore AGAIN. So forget gun control and abortion the real issue is immigration, which is why you aren’t hearing much about that. You might not for a little while, until after those other issues are resolved, and perhaps conceding a few points on one or two extraneous matters makes it easier to get some real progress on the issue that matters. Politics 101.

Reasonable Republicans, [post Trump] are more likely to take a conciliatory position once they have achieved some tangible goals. That would be the GOP of Mitch McConnell which is the GOP of Trump, not to go into it much, McConnell was president for four years and Trump licked his penny loafers, but nobody else sees it that way.

1.) The Iong term money flow are strong, (tune back in later) and that means 2.) the strong hands need not regurgitate any of their shares, [hence no capitulation] in the markets. The Fed is not tightening one gawd damn tiny little bit. ( the other yahoo interview said 3.)they (or the markets) are TIGHTENING for them, the Fed, [which clearly isn’t true if the money flows are actually STRONGER] = the self tightening screw stripped a thread) and 4.) the Fed is ready to declare victory [my summation not his]…if and when inflation abates a littl and exit from this charade…..

This is very choppy but so is the market….

Small things really that gap higher which stayed open most of the afternoon. Then a gap down preceded the closing moment and that gap naturally has to close which is still unresolved. The purpose of watching gaps close is that indicates that price can continue on the direction in which it was going. When the market isn’t sure which direction that is, this can be helpful.

There are three white dots to describe how the green gap can possibly be resolved with a break of the red gap, in other words the selling is complete, let the buying resume. That could be a double bottom if you turned the chart upside down, which is bearish of course. Most of the action today here came on the drop in the futures, the money flows are barely ruffled.

Yesterday I bottom fished some 409/410 Friday call spreads at the lows and watched happily while the SPY went to 417 at the close, and then WHAMMO! This AM they were right back down scrapping the paint. One point spreads at the money have pretty much the same premium that spreads further up the strikes offer. Why take the risk? Condor Call spreads are a way to boost your risk reward. Look out though, the market can blow right past your caps.

This is fairly positive. the DOJI star Tuesday did signal sideways action, with a lot of volatility. The next goal is the red heart by June 13th. OBV is just not looking prime, even if it has separated itself from the trendline. I maybe the first to use technical analysis on an oscillator function. So far I have identified certain qualities which are essential, such a volatility in the flows themselves.

The gold bottom line in the A/D is most important, since that is support. The other line simply closed in the triangle, but it has shown it’s relevance as support. The trend line in OBV is starting to work itself out of a job and we could assume that will be bullish. Note: The red line from the last two lows is also down trending, ever so slightly. The pattern of higher highs and higher lows is not at all in evidence here, or in MFI. I painted a circle to demonstrate where overbought would be, that would be bullish probably.

Volume in the raw is supportive of a buying surge. Buying needs to get back to the trendline but a failure to keep up with the slope is not a sign of market failure either. Three of the last four days have been red bar sell days and price hasn’t lost anything. The jobs report was probably misunderstood. The Feds Goldilocks scenario, soft landing, just trim the ailerons (those new job openings). We can’t raise even if we wanted too. The notion that Putin needs to have his ass kicked is tempered with the reality, that he already has. The press has run the Biden admin into the ground, and the president still has the je na sais quoi to suggest to Elon Musk that he enjoy his trip to the moon after making disparaging remarks about the economy.

I think the real news culturally is that the MSM is going to start showing pictures of shooting victims, little kids with their heads blown clean off. When the mollycoddling Liberal press finally stands up to the right wing conspiracy theorists – who are by definition people with weak minds – that some capitulation will take place, or respect if you will, or vomitting.

We buy our meat at the grocery store, under a film of cellophane, we don’t want to experience what is required to render the flesh into food. The philosopher questioned a Buddhist monk about this, why aren’t you against eating plants which are ripped out of the ground. Are they not living beings?? The monk said, ambivalently I suppose, that the difference between an animal and a plant at the moment of decapitation, is that, yes, but we cannot hear them scream. The media at least since Trump has become a bullhorn which amplifies raw emotion. Let that be a lesson to you….

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