Legendary Short Seller Just Warned It’s Now “Jokers Wild” As Fed Is Completely Out Of Control
KingWorldNews.com
June 16, 2017
With so much propaganda surrounding the Fed’s decision to raise interest rates this week, a legendary short seller just warned it’s now “jokers wild” as the Fed is completely out of control.
By Bill Fleckenstein President Of Fleckenstein Capital
June 16 (King World News) – As longtime readers know, often when I am traveling the markets get wild, and last Friday was a good example of that. I think the huge break in the FANG stocks is most likely a meaningful development and it is an early-to-coincident sign that perhaps the market is finally exhausting itself…
Wait, Wait, Don’t Sell Me
I know I have felt that exhaustion could be developing a few other times and it turned out not to be the case. That said, having a wrong thesis is pretty common in this business, so the important thing is not to try to force positions because of a hunch, but rather see if the thesis plays out and is corroborated. To that end, the subsequent action this week hasn’t negated the possibility of exhaustion, but we haven’t really seen anything to make me feel like a serious decline is ready to begin just yet. On that topic, I encourage everyone to look at Mr. Skin’s post in Ask Fleck today because he did a brilliant job succinctly summarizing where we are from a psychological standpoint.
The Rest…HERE
