REVERSE REASONING

Lately the move on the stocks has been something like this: 

- When numbers point we can scape the double deep or the prolonged squeeze stocks go up thanks to the optimist side

- When numbers point we can go to double deep or a prolonged anguish,  stocks go up because the FED will intervene and buy a lot of things putting a massive amount of liquidity in the system (QEII) , though most of the current liquidity does not flow to the economic system, just comes back to the FED trough. overnight deposits.

This has a name, is called complacency and is the most important ingredient for a crash..........