Dead Cat Bounce?

We find ourselves in that no man’s land of deciding was that the overdue correction or is there still more to come. As we know nothing is simple in trading markets – if it were easy then we would all be rich.

I wrote this line yesterday after the market had bounced more than 1.5% (i.e. when I commonly refer to the market I am referring to the US S&P 500). Today I write the market is down -0.73% so the question is further amplified. In the coming days I will try bring some context to where we are in this crazy market cycle and then try and position for a more probable event.

I hope you will notice throughout my postings that I will refrain from making absolute market calls, as there are no such things only probable outcomes.

To see how shallow the pullbacks have been over the last 1000 days see below.

New Beginnings

Sefirot Capital is a site with a soul, before discussing what we do and what we are hoping to achieve let us understand a little more about the name . The ancient Jewish mystical tradition Kabbalah is built on the structure and interplay of 10 emanations called Sefirot or Sefira in the singular. These creative forces are the driving force behind the worlds creation and ongoing existence and therefore a deeper understanding of their role helps us make sense of the inner wisdom of a seemingly chaotic world. The second reason for using the Sefira concept is its close association with my modern day hero C.G. Jung and his theory of the Archetype, the mythology of my beliefs will weave their way throughout the writings on this site.

At Sefirot Capital we are positioning ourselves as an ethical think tank bringing a unique soulful, psychological, philosophical, economic and quantitative perspective of world economies and the capital markets. This promises to be a Hero’s journey where we say what we feel and what we believe at all levels of consciousness in an effort to achieve Wholeness.

The site will take the split form of spontaneous thoughts on all things market and mind as a blog/journal and a more detailed thoughtful research based section. On the latter, I have been wanting to write a book on the markets for many years bringing a unique psychological perspective. I have decided to embark on this journey in a very open way, and write and publish each chapter on this site in real time. The books current name is “Market Complex” and is a project I am particularly excited about.

Note: I will post a Jungian dictionary to the site as many of his terms or their precise meaning will be new to the reader. Some Kabbalistic concepts of the Sefirot as they relate to the capital markets will also be developed on this site in due course.

What I want readers to experience from this site is a dialectic conversation, a term Jung uses as his mode for how the form of therapy takes its place between analyst and analysand. The courage to gain true understanding involves exposing ones innerĀ Self and it is far easier to do this without shareholder interference and a corporate agenda. I considered writing in “ghost” form to protect my business career should I say or do something unpopular, but I have decided that would be denying the very essence of what I am trying to project.