Goldman upgrades Ralph Lauren to Buy

Goldman Sachs upgrades Polo Ralph Lauren Corporation (NYSE: RL) from Neutral to Buy with a $90 price target. The firm sees the brand capitalizing on near-term US cyclical recovery driving sales and margin upside, and longer-term multi-growth unfolding across marginaccretive geographies and categorie

Pfffffffffft, whateva. Will Goldman be underwriting something for them soon? I can't wait to see the 17 pages of disclosures probably goes with this one.

If this is still valid then I would expect the DXY might pullback once/if it reaches 77.40'ish. I am also watchng the Nikkei to see if it holds 10k or not. However, I could see it moving back towards 10,300 simply as a retracement first.

One thing I can assure you is there will be a select few computers firmly in control of the market. If program and HFT trading account for 70% of the volume how can that "force" be "opposed"? Here are a few statistics off the top of my head I would like to see broken down by MM, SLP, HFT, etc...:

• Total Volume
• Total Volume from program trades
• Total Volume program to program trades
• Buy Side / Sell side transactions and their respective average holding period
• Orders submitted and orders filled
• Overnight risk

These I would really like to see for the SLP program...Specifically SLP to SLP transactions.

I haven't much to say in my sleep deprived state, but I saw some heavy Call activity the other day in WYNN over the next few expirations. I was unable to ascertain from the time and sales data what sort of activity this might be. Irregardless of where that POS might go, I don't want to be tied up in it right now because of the recent price action. And that, my friends, is all it takes for me to drop it like a bad habit. Besides, I'm giving RL and LTM a noogie right now so I don't need to babysit another position.

Big trouble. Riots are breaking out at the Bingo Parlor. The MawMaw-Momo daytrading club are flinging dab-inks in a panic stricken state. Mpeg at 11

BerTanke,

I have assumed the position (ankle grab). You have the green light to body drop the DXY to 75.09 now. Get it over with already or put me down like a wounded horse. A better idea would be to cut the crap and you and your banksters eat your own fucking losses and let the necessary and inevitable debt deflation take place.

Signed,

The Boggler

I'm chatty Cathy today. I'm not sure why this even popped into my head just now...I failed to recall that Sir, Buddy Pal Kudlow actually one-upped himself on the Goldilocks thesis when he was adamant this entire economic correction was going to be a soft-landing. This guy supposedly has credentials too - but like most academics they can only recall rote memorization from college and apply the best-fit method to a new problem. If you watch Laureate Krugman on Television and someone asks him to ponder a situation notice how he pauses for about 300ms, looks up to the corner of his eye while scanning a quadrillion braincells full of academic garbage written by a bunch of Keynesian idiots, then spouts out gospel.

In other news, rumor has it that there was an algorithm merely cogitating a scenario and one of Goldman's SPARCs and 50 of their best clients were already there to front-run it.

Song (unrelated to topics)

I'm not sure why it is that I keep mentioning S&P resistance when, imho, it's this number (and a possible VIX party like it's 19.99 print). More of a psychological target and considering that's what this entire ramp has been about I see no reason to deviate from that. Sorry, it's just that I read the letters CNBC somewhere and my IQ went to single digits (slightly higher than their latest ratings). Please forgive me and enjoy some Norah Jones

It finally dawned on me what Golddog is trying to do. They will run the momentum indicators up so far on the indexes that they will exceed the 32-bit boundary causing them to flip negative. This, in turn, will make the mean-reversion algorithms see things are extremely oversold and will start backing the truck up with 10,000 share blocks on the sippy.

(maybe a little commentary) Notice in '06 it can go from OB to OS without much of a downward move in the market. However that was during a real bull market. It's been a while since I posted this chart - draw your own conclusions. I'm not going to call tops or bottoms in this shenanigan called a stock market.

The Q's continue to quasar out of the Milky Way. In fact, the weekly is measuring G-forces not seen since Maverick and Goose took a Polaroid of a Mig-29. $40.95 (downside) jumps out at me.

RL and Wynn, two of the best safe havens known to man, continue their orbit near the Hubble. They're also registering cpu instructions per second not displayed by a SPARC since WOPR solved Global Thermonuclear war. I see a correction in their future.

[addendum] The downside to trying to play consumer related names right now is every silicon wafer in the market will jam them higher when the dollar moves higher (correction). As if the 1 penny drop in dollar denominated commodities will have the consumer buying a polo shirt (at a Simon Property Group owned mall near you) on the way to a Wynn resort/casino (via CAL). If there is true downside momentum in the market then they will eventually succumb.

Well there you go. If only I had that account I spoke about, brazillions of dollars could have been made.

---

Speaking of things that rhyme with arbitrage, 'cept starts with G-A-R-B. LTM is in a precarious spot and is looking somewhat vulnerable.

Activate! Shape of a SPARC! ... Form of .... water (wtf with that dude).

Although I'm expecting 1070 to hold as resistance for a bit, Let's see if we get that last half-hour ramp today, courtesy of the twins. So far Lazlo is winning but the market is starting to churn here.

[addendum] Gobbled up some DEC UUP 23 Calls. Anybody want to go in halfsies with me? Something about the thought of losing dollars on dollars just seems wrong. Clark W. Griswald, "This is crazy, this is crazy, THIS IS CRAZYYYYY!" Can't rule out a smooth 75.09 on the DXY though. Bernanke is dying to make my ankles look like handgrips. Hopefully sometime between now and Dec someone will tourniquet the USD.

Strangest thing happened. Last week I got a text message from a 202-872-xxxx saying, "Golddog likes PEE-EEE-RRR; pass the word". I'm pretty sure that message wasn't meant for me and I wasn't sure what to think about it, but I went ahead and took a chance and loaded up on all those calls last week (right-most graphical)

See Also: Zero Hedge

PS. Riiight

This is interesting. If I had access to JPM's BNY taxpayer funded account I would just start gunning the SPY and shorting the cubes (for liquidity purposes)

PS. Haven't loaded the sarcasm font yet. But I would pay attention to this

Give me a break. If $75 gives way it should be a quick move to the next support level; right about the time Goldman's MoMo algorithms promptly run this to par. That is if they do not do it straight away. $79'ish is still a threat here but this is a weekly chart, therefore I'm looking out a couple months here.

Daily chart for reference and comparison.

I would imagine it will try to fill the gap before heading lower (if it does).

[Update] When I saw lower, I'm looking at 1036.

Sometimes I just like to re-watch an old-fashioned video This is one of them:

There are at least a few good Democrats and Republicans in congress (lowercase intentional)

"Every morning before the opening bell we have a brainstorming session at the dart board. This strategy has yielded only three losing days in the last quarter. To add to the competition in the office any trader with less than a 90% win rate has to buy a case of Red Bull"

1. One reason it's time to exit stage left (close enough to the targets)
2. Second reason over at ZH (CAL in the top 20 most likely to go bankrupt)

In other news the DXY turned positive today resulting in a barrage of phone calls, sms messages, e-mails and alarms at the Federal Reserve, none of which will be FOIA'able. Bernanke assures us he will have the problem resolved shortly.

Picked up From ZH .

Thurgy: UBS recalls IYR shorts...I'm guessing they'll be underwriting something soon too. Anyway, I was off on the down leg but does this look familiar?

See Also: IYR

PS. Since I've looked silly with that Silver blunder I'm going to misdirect your attention with a good call, or something. Maybe even the HUI, lol.

An incomplete list of some ETFs and their short-term momentum. Stocks have gone plaid.

Lazlo: Market Correction not needed before waving goodbye to the celestial body known as Earth. More to follow.

In other news the Bernanke/Geithner tandem continue to do Diving Headbutts from the top turnbuckle on the USD. I'm wondering if the bludgeoning will continue precisely until Oct 1? Also Simon Property Group plans to purchase Malls from the bankrupt General Growth Properties...Next up? A conviction buy list, upgrade and secondary offering from Goldman Sachs/Merril.

Pretty much following the path so far, therefore there is no need to update the chart. This is the spot I want to take on the SHORT side. According to my book I've got about a 50% chance of being right. I'll stop out above 33.00.

• Bonds up, Stocks up
• Bonds down, Stocks up
• Volume down, Stocks up
• Dollar down, Stocks up
• Dollar up, Stocks up.
• Record Consumer deleveraging, Stocks up.
• Failed Polish Bond Auction, Stocks up.
• 19 multiple of the S&P (mean is 15), Stocks up.
• Official Unemployment 16+% (as measured by U-6), Stocks up.
• Record bad (insert random economic indicator) report, Stocks up.
• Diverging Tick, 5 banks Stocks up.

I'm forgetting several more, but they all end with 'Stocks up'. No bitterness, just humorous. Which one of you will be without a chair when the music stops? I guarantee you it will not be an UltraSparc.

So the SPY analysis is bunk and my Silver short is tarnished. Nicely done thurgy. My analysis in the dollar was flawed because it was charting UUP instead of DXY which do not trade the same (market hours vs 24x5) nor do the technicals line up. This wasn't a good idea while all the talk of 'China putting a floor in Gold'is going around. Bad thurgy

Golf Clap to Bernanke and the US Wampum. At this point it's become humorous to see how low it can go. 75 is an area of interest in the DXY shown in 'WTF' if it continues to fall.

I'm not sure Goldman would allow agree with my analysis, but this is how I see it (97.50). I put on a short trade in Silver today at 16.50 (futures) . Wall Street Pro will not be happy with that either.

Follow-up to: Breakin

Related Posts for LTM

[addendum: Grr. There is a pivot at 28.12 that I failed to spot before making that chart.. Was in a hurry]

Watch 1000 right here on the Sippy. Look for a possible bounce to 1010 then to 980. [addendum: Some EURUSD areas to watch is 1.423 then 1.417]

Pictured left is another stellar performance by the 3:10-3:15 futures Bandit yesterday. If it were not for the Bandit we would be without liquidity and price discovery in the free markets.