1. We have reached the sell zone for the SPX at/around 1050 and as I recommended sell any strength above 1030 is still very valid and almost no time left to do so for now. We likely will see another attempt in late Nov and Dec but rather not bet my grandma on it. The overall bias is now that a bullmarket has been declared by a rising crowd of guru's who you barely saw around 666 but that is how the story goes and confirms a big top at hand and building. We can expect a retreat of 10% at least over the course of the next 2 months depending on the country and index it can even be more like 20% as we already saw for China. We are in a big expiration week and big manipulations will be at hand for this week as the overall market has been anyway in general terms but the big boys behind this know that the smartest thing to do is to have the market drop temporarily to get some people short and squeeze them up towards yearend thats how they can generate some natural buying momentum ( although they are not net buyers). that also will make the opportunist bulls joining them as a so called healthy correction will have been taken place and the 'big bull market' can carry on - which it will not but they want a positive mark on this year. since it fully suits the interests of DC that markets are rising since that lifts the spirits of consumers and calms down the angry crowd the manipulators have their full support.
2. A fairy tail about the brave Mr paulson who fought for the American people as treasury secretary but the facts say different as Goldman has been the biggest benificary of this crisis by all means and he himself pocketed a handsome reward as a law which is supposed to take out any conflict of interest makes him to sell all his stocks (of Goldman) but to make it a bit easier does exempt him from any tax payments. Mr Paulson had approx. 800 Mio worth of them so he will ahve made around 150-200 mio in profit on that deal and that was one of the reasons he took this office. the other is very obviously to widen the web of power Goldman has in DC and especially in the FED and Treasury. Beneath a myth story about Paulson far from any truth its like one of those 'wag the dog' stories.