Banyan’s predication of 70% market drop due to change in Rule 10b-18 (stock repurchases) after August 1st SEC meetingI know some congressmen and some SEC personnel have suggested making changes recently, but what are the chances of it really being repealed? I could see some small changes happening, but I don’t think anyone would really cut it.
https://pro.banyanhill.com/p/CRASH/PSCEU603/?h=true
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Soooooo, anyways, any of you market gurus have some thoughts? They sure make a good case for the little guys destruction.
Yes, quite the exaggeration. This is the only minor revision the SEC will make to 10B 18 which will not affect the stock market:
https://www.briefinggovernance.com/2018/06/sec-commissioner-jackson-calls-for-restrictions-on-stock-buybacks/
I got as far as the little lamb and turned off the video. However, looking at a 20 year chart of the S&P 500 on a monthly and quarterly basis, gives one pause. On a monthly basis, it appears the market has already had some rumblings which indicate a correction, however the quarterly chart is the most scary. All the indicators I use are the highest they have been in 20 years, which include the 2001 and 2008 crashes. The latest quarter reflects a Bearish Harami candlestick formation and a bearish wedge. From a purely technical analysis, this market is the most overbought we have seen in two decades. Markets can remain overbought for months or even year(s), but this overbought will set records.
What’s your take on the level of margin debt in the market? This seemed to be the scariest stat of all.
Post your charts please.