Bull

I agree and that makes a 4th point for sudden change.

1. The Chinese opting out of the current game.

2. The possibility (down the road a bit perhaps) for a behind the scenes political revaluation of currencies.

3. Public recognition of the ongoing currency devaluations and a sentiment switch to exchange all paper money for "things" worldwide as fast as they can because tomorrow the paper will be worth less; thus accelerating the velocity of money and the beginnings of hyperinflation. All the hyperinflations of history were said to have come upon the general populace with surprising suddeness.

4. The U.S. public actually revolting. Changing from cow-like incomprehension of what is happening to them to Grizzly bear like rage at what has been done. Chaos in the U.S. with its reserve currency dollar would cause a worldwide upheaval. (that particular turn of phrase is courtesy of James Kunstler)

Hence the need to keep firm in our positions. If we trade out looking to get back in cheaper and find out the next day that rather than go down the market went up it is very hard to get back in. The next emotion is that it will come back down to at least where you sold it and reality is that it has gone up further. At this point most people are in shock and they watch the market go up and up and up and away. They are powerless to act. Been there and done that, more than once.

P.