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April 29, 2020 | Boeing’s Insane Surge Flouts Criminal Probe

Rick Ackerman

Rick Ackerman is the editor of Rick’s Picks, an online service geared to traders of stocks, options, index futures and commodities. His detailed trading strategies have appeared since the early 1990s in Black Box Forecasts, a newsletter he founded that originally was geared to professional option traders. Barron’s once labeled him an “intrepid trader” in a headline that alluded to his key role in solving a notorious pill-tampering case. He received a $200,000 reward when a conviction resulted, and the story was retold on TV’s FBI: The Untold Story. His professional background includes 12 years as a market maker in the pits of the Pacific Coast Exchange, three as an investigator with renowned San Francisco private eye Hal Lipset, seven as a reporter and newspaper editor, three as a columnist for the Sunday San Francisco Examiner, and two decades as a contributor to publications ranging from Barron’s to The Antiquarian Bookman to Fleet Street Letter and Utne Reader.

Boeing’s $9.65 surge on Wednesday, an astounding one-day gain of 7.3%, pretty much sums up the psychotic nature of the stock market’s epic bear rally. It occurred with this item on the front page of the Wall Street Journal as a backdrop: “Boeing faces criminal and civil scrutiny into years of widespread quality-control lapses on it 737 MAX assembly lines.” Fancy that.  And yet, buyers seemingly couldn’t get enough of the stock. Its sharp rise was perfectly synced with the FAANG/lunatic sector, which powered relentlessly higher with no exceptions or laggards. Driven by short-covering and a deft lightening of supply by The Smart Money, the rally is as disconnected from reality as any ever witnessed. In dollar terms, it is the most power bear squeeze ever.  For my thoughts on when, and how, it could end, check out the E-Mini S&P tout immediately below.

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April 29th, 2020

Posted In: Rick's Picks

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