[IBM] is probably rolling over.

In this post I predicted that IBM was right at a long term top and that its shares would soon be on the big slide down.  Today I think the trend reversal has been confirmed.  Right now it is a slow trickle and few are concerned since the shares are still fairly near their 52 week high.  But the chart is telling me that confidence in growth has been lost.  The recent revenue miss did nothing to help matters even though profit (a number that can be gamed quite a bit by the company) exceeded expectations.  While most people are looking at these numbers, I think the chart is where all eyes should be and at least my read of the chart says "breakdown in progress".

The top red circle shows a breakdown from the 5th wave that was forming.  This is an important breakdown but not complete confirmation yet.  However, a breakdown below the lower channel, which can probably only happen during a 3rd wave down, should convince the market that shareholders with big money are fleeing the IBM stock Ponzi.

IBM will not be in it alone.  All of the big "can't lose" companies are going to see profits collapse as global deflation plays out.  It will provide cover fire for Bernanke or Yellen or whatever other puppet they install as fed chief to continue with QE to infinity.

I think gold and silver will be the big winners here (and metals miners will probably win even more on a percentage basis given that they have been beaten to a bloody pulp of late).