Founders: We might be close to a stock top
Using the ZH theory of Wilson bearish as contrarian indicator
Today:
GSTrader top stories
JPM Morning Intel
CA: Structurally And Persistently Higher Inflation (part 2 Of 2)
MS: WILSON REMAINS BEARISH.. BUT STARTS TO HEDGE
GS: Morning Email
NS: News
Here’s the difference between Wilson and Hartnett to us.
Hartnett has been bearish in his heart for a 2 months. But acknowledged very early on the mini bubble and how that is making him careful to NOT get short.
On May 6th he declared banks broken, but warned that the banks breaking could be the end of the problem ( or the beginning of one)
…if SVB was Bear Stearns we going to new lows, if LTCM then we going to new highs
On May 20th after Stevie Cohen lit the market up, he acknowledged the AI bubble and decided to not fight it. Between May 6th and May 21st he kept saying.. I’m bearish.. but something is wrong.. the bank failure could be the end of the problem
Wilson: has been bearish and only now is he truly acknowledging the drivers that have so far made him incorrect.
Investor sentiment and positioning has turned 180 degrees at an inopportune time, in our view. Fading fiscal support, less liquidity, and the impact of inflation falling faster than expected contribute to our 2H23 caution.
He is closer to capitulating and going long with this…. that, ZH will then note could be the top