Quite some time ago I was fortunate enough to wake up to Glenn Becks radio program and hear him talking about the Hindenburg Omen market crash signal which he was going into quite a bit of detail on his radio program. I indicated at that time that it could possibly be a very powerful contrarian psychological turning point for the market given that he caters to more of a mainstream audience.
But now a couple of days ago I happened to turn CNBC on to see what kind of reaction there was to the AAPL news and the sell off the next day. They had Jeremy Siegel on who wrote the book ‘stocks for the long run’ and of course he was babbling about how bullish everything is and that stocks are for the long run etc etc. It seems without fail they always bring this guy on when the market delivers its first minor shock and feel the need to hear soothing bull market talk and re assurance that everything is ok.
So it could very well be that his appearance on CNBC is helping to mark the top at least from a psychological perspective but admittedly it is not as strong a contrarian view as the Glenn Beck episode.
Only time will tell, but if it does work out that way then I am going to have to pay closer attention to what these two are saying with regard to the markets and/or public appearances.
P.S. But I actually do like that quote at the end of the above video link, “I think the markets have way over reacted to QE. I think QE is a great idea but it is going to start modestly at most with a 100 billion,… I think we are going to start out on the November 3rd announcement only with 100 billion, and then they are going to put in a contingent…the stock market has reacted the least of all this QE talk.”… Then Erin says, “If they only get 100 billion it is going to be a very terrifying day”.
P.P.S. I am shocked.. Actually a useful tidbit and insight from CNBC !