Google update

Here is my last update on GOOG.  It was entitled "Beginning of Google collapse imminent".  Have a look at that model and compare to today's snapshot.  While no "collapse" is in full swing, I maintain my position that the beginning of a collapse has already started.  When you get these 1-2 1-2 stutter steps at the very peaks you know that some dramatic cliff diving moment is right around the corner.   A move higher than 1230 will negate this model but I think the odds are very very low on that given the way the herd reacted to bat-faced Yellen's reduction of another 10 billion of stimulus along with other things that emitted from her pie hole which could be construed as her worrying that the wealth gap is too big to keep this crap up. 

The oligarchs are now clearly signaling to each other that anyone who has not made a fortune on the 2009 government interventions into the free markets is not part of the club and thus on their own.  Sacrifices will have to be made.  Besides, the federal reserve system's balance sheet is now leveraged up to an incredible 55:1 with the New you branch (the leader of them all) leveraged 104:1.  This exceeds Lehman.  It exceeds Bear Sterns.  It is a debt Ponzi of incredible magnitude and any talk of unwinding it "gracefully" is for morons and losers.  If it could possibly be unwound without tanking the economy, it never would have been wound up there in the first place.

And so they will try to wind it down and as they do it will let the air back out of the stock market.  We'll all be good and lucky if the whole system of shadow banks and corrupt charter banks doesn't implode in the process due to massive chain reaction defaults and uncontrollable deflation.  It's either that or risk hyperinflation.  Anyone who think a soft landing is possible if we just handle it properly is a brainwashed fool.

In the mean time, be looking for Google to crash below the top red support line in the next 6 weeks if not much sooner (3rd waves tend to move with incredible speed).  When the lower support goes some place with the red oblong, the next support is at the prior 4th.  If that cannot hold, GOOG shares will likley become a mania closing below where they started at $100.  Yes, you read correctly.  Just because sheeple have bid them up on margin debt to $1300 does not mean they are even worth $100 once people begin to avoid the use of margin on the long side.  I say again, GOOG pays no dividend and thus even a $100 valuation should be considered quite generous.  That is the math of the situation.  That is the math of a debt Ponzi.  Laugh now, cray later if you fail to get out of the system.  This is going to happen folks.