Best of the Week
Most Popular
1.Election Forecast 2015 - Opinion Polls Trending Towards Conservative Outright Win - Nadeem_Walayat
2.UK Solar Eclipse - End Time Sign, Judgement Day, Doomsday! - Nadeem_Walayat
3.Gold And Silver - When Will Precious Metals Rally? Not In 2015 - Michael_Noonan
4.Preparing for the Next Stocks Bear Market - Forecast 2015-2016 - Gary_Savage
5.Is a Stock Market Crash Imminent? - David Eifrig
6.Gold Price Slumps as US Dollar Soars, What's Next? - Nadeem_Walayat
7.US Dollar Forex Pairs and Gold Chartology - Rambus_Chartology
8.Election Forecast 2015: The Day Labour Lost the General Election - Nadeem_Walayat
9.The ECB Should End QE Next Month - EconMatters
10.Silver Price Poised to Surge - Zeal_LLC
Last 5 days
You Can’t Afford Not to Invest in This Latest Yesla Technology - 1st Apr 15
Election Forecast 2015 - Coalition Economic Recovery vs Labour Collapse - 1st Apr 15
Bitcoin Price Down Move Still in the Cards - 31st Mar 15
No Body Understands Debt - Living in a Free-Lunch World - 31st Mar 15
Will Gold Win Out Against the US Dollar? - 31st Mar 15
Middle East Balance of Power Matures - 31st Mar 15
Ed Miliband Debate Election 2015 Analysis - Labour Spending, Debt and Economic Collapse - 31st Mar 15
Gold and Misery, Strange Bedfellows - 31st Mar 15
Why are Interest Rates So Low? Ben Bernanke, Confused as Ever, Starts His Own Blog to Prove It - 31st Mar 15
Don’t Celebrate the U.S. Housing Market Recovery Yet - 30th Mar 15
A Middle East Nuclear Holocaust - 30th Mar 15
Peak Gold? – Goldman Sachs Research Warns of Peak Gold Production - 30th Mar 15
With Yemen Burning, Arab Spring II Is Underway - 30th Mar 15
No FED Bets From the BIS - 30th Mar 15
Election Forecast 2015 - Debates Boost Labour Into Opinion Polls Seats Lead - 30th Mar 15
Economic Recovery, Geopolitics and Detergents - 30th Mar 15
U.S. Dollar, Commodities and the Gold Miners GDXJ ETF Analysis - 30th Mar 15
Stock Market Short-term Downtrend - 30th Mar 15
David Cameron Election 2015 Debate Facts Check - Employment, Immigration, Debt & Deficit - 29th Mar 15
Stock Market About Ready to Crash! - 29th Mar 15
Reflections in a Golden Eye - Gold Market Rejection, Repatriation and Redemption - 28th Mar 15
Stock Market Inflection Point - 28th Mar 15
Gold And Silver - What Moved Price? Bab el-Mandeb And Uranus Square Pluto. What?! - 28th Mar 15
Stock Market Investment Parachutes; Do You Have Yours? - 28th Mar 15
Peak Gold Misunderstanding, is Gold About to Run Out? - 28th Mar 15
Deflation Watch: Key U.S. Economic Measures Turn South - 27th Mar 15
The Hard-Earned Truth About Recreational Real Estate - 27th Mar 15
Bitcoin Price Still in Important Territory - 27th Mar 15
Stocks Bear Market Conditions - Index Market Range Warning - 27th Mar 15
BEA Leaves Q4 2014 U.S. GDP Growth Essentially Unchanged at 2.22% - 27th Mar 15
Brazil Economy Victim of Vulgar Keynesianism - 27th Mar 15
Gold to Fuel Silver Price Upleg - 27th Mar 15
Gold and Silver Stocks Will Rise Again! - 27th Mar 15
Risk of ‘World War’ between NATO and Russia on Ukraine as Yemen Bombed - 27th Mar 15
FOMC Minutes Turned The Gold Tide - 27th Mar 15
Sheffield Hallam Election Battle 2015 - Lib Dems Go to War Whilst Labour Sleeps - 27th Mar 15
Gold Effect On Mining & Shale Wasteland - 27th Mar 15
How Stock Investors Should Play the 2016 Presidential Race - 26th Mar 15
MidEast Energy Alert: Why the Crisis in Yemen Could Get Ugly Very Fast - 26th Mar 15
Stock Market Downward Spiral of Dumbness - 26th Mar 15
The Monetary Approach Reigns Supreme - 26th Mar 15
Stock Market Large Gap Down, Despite the Algos' Push Back - 26th Mar 15
Crude Oil Surges, Gold price Spikes as Middle East Tensions Escalate - 26th Mar 15
The U.S. Housing Market Recovery Is Fabricated Optimism - 26th Mar 15
Why Yemen Is The Next Saudi-Iranian Battleground - 26th Mar 15
The Crude Oil Price Crash and China Economic Slow Down - 26th Mar 15
Global Financial Markets Are More Distorted Than Ever Before - 26th Mar 15
One More Stock Market Rally and Then a Huge Drop Expected - 26th Mar 15
Danger Will Robinson - Stock Market Crash Warning - 25th Mar 15
Learn the Basics of Corrective Elliott Waves - 25th Mar 15
Why CNBC Is Hazardous to Your Financial Health! - 25th Mar 15
Will Your Retirement Accounts Survive The Coming Tax Code "Revolution"? - 25th Mar 15
US Dollar - Americas Phoenix - 25th Mar 15
California’s Epic Drought: Only One Year of Water Left! - 25th Mar 15
What’s Wrong With Silver? - 25th Mar 15
SPX Futures Appear Weak. WTIC and Gold May Be at Max Retracement - 25th Mar 15
We’re at the Dawn of a “New Energy Age” - 25th Mar 15
A Very Weak U.S. Economic Recovery - 25th Mar 15
Zero UK CPI Inflation Rate Prompts Deflation Danger Propaganda For Fresh Money Printing - 25th Mar 15

Free Instant Analysis

Free Instant Technical Analysis


Market Oracle FREE Newsletter

US Economy Still on Life Support

The Euro Crisis is a Moral Crisis, GLD and SLV ETFs Tarnished

Stock-Markets / Financial Markets 2013 May 03, 2013 - 12:21 PM GMT

By: Christopher_Quigley

Stock-Markets

Ireland’s President Michael D. Higgins has intervened in an unprecedented manner in the political debate on the euro zone debt debacle.  Yesterday he was reported saying that the Euro crisis was a moral crisis as much as an economic one and he believed that unless the hegemony of Germany was mitigated the ideal upon which the European Union was founded would be lost forever, with grave consequences.


The sentiments expressed by Mr. Higgins in his interview has sent shock waves throughout the Irish political establishment who up until now have been feed a “euro consensus speak” by the mainstream media. What is particularly worrying for Enda Kenny the Irish Prime Minister is that the popular reaction to the President’s speech was overwhelmingly positive. At last, many believe, the truth is coming out at the highest social levels concerning the utter bankruptcy of the Euro project.

Arthur Beesley of the Irish Times reported as follows on the 2nd May:

“President Michael D Higgins has intervened directly in political debate on the euro zone debt crisis, criticising the response of European leaders and the actions of the European Central Bank.

In some of his most forthright public remarks since taking office, Mr. Higgins said the introduction of jointly-issued Eurobonds could create scope to boost the economic recovery.

He also took issue with the failure of EU leaders to fulfill their pledge almost one year ago to break the link between bank and sovereign debt.

Mr. Higgins’ remarks put him at odds with the response to the crisis of the German government, which has largely set the parameters for other member states.

The Merkel administration has faced down numerous demands for the joint issuance of sovereign debt and it is in the vanguard of the countries which are resisting demands for the ESM bailout fund to retrospectively compensate bailout recipients for taking on historic banking losses.

Stating that Europe faced a “moral crisis” as much as an economic crisis, the President said European leaders needed to make up their minds on the type of union they really wanted. There was a need for “radical economics” and a “radical rethink” of how EU leaders were handling the economic crisis, he said.

The President’s concerns about the crisis in Europe are well known.

In a speech to the European Parliament two weeks ago, he said Europe’s citizens were threatened with an unconscious drift to disharmony, a loss of social cohesion and a deficit of democratic accountability.

While he called then for the idealism, intellectual strength and moral courage that drove Europe’s founding fathers to be reasserted, he went further in his interview by directly tackling some of the most difficult policy questions faced by EU leaders.

He also questioned Europe’s basic economic model, saying there was a requirement for a multi-layered approach.

Adding his voice to the fractious debate over the mandate of the ECB, the president said the Frankfurt-based central bank should act to fuel economic growth.

Ireland was unusual in its acceptance of such a high degree of cuts when compared to other euro zone countries, he argued.”

Gld and SLV tarnished:

Our comments this time last month to utterly avoid Gold and Silver generated a huge response from readers. One follower said it “saved him a fortune” as he was just about jump into a “huge position” in GLD and SLV with a partner. The April Market Brief stopped him in his tracks.

Following the collapse in the prices of GLD and particularly SLV the reader asked me if I had received any “inside” information. I informed him that the call was based purely on technical analysis. The main technical element I pointed out for him to observe was that when major daily moving averages become points of resistance rather points of support you know a stock, or in this case  a commodity ETF, is in a bear market.

GDL ETF: Daily

SLV ETF: Daily

Dow Transports index has changed trend:

The current bull market movement in equities is beginning to become a pit choppy and may be about to run out of some steam.

The Dow Industrials reached new highs in April but these highs were not confirmed by the Transports.

More significantly on the Trannies in April we had three lower high and two lower low cycles.

This means that as we speak we have a change in trend in this significant index.

Should the Dow 20 break the 5900 level expect volatility to increase significantly.

Thus the “sell in May and go away” mantra may be about to become a self-fulfilling certainty.

However, if the Trannies break up through the 6281 level all will be well with the Bull.

Dow Industrials: Daily

Dow Transports: Daily

Charts: Courtesy of StockCharts.Com

By Christopher M. Quigley

B.Sc., M.M.I.I. Grad., M.A.
http://www.wealthbuilder.ie

Mr. Quigley was born in 1958 in Dublin, Ireland. He holds a Bachelor Degree in Accounting and Management from Trinity College Dublin and is a graduate of the Marketing Institute of Ireland. He commenced investing in the stock market in 1989 in Belmont, California where he lived for 6 years. He has developed the Wealthbuilder investment and trading course over the last two decades as a result of research, study and experience. This system marries fundamental analysis with technical analysis and focuses on momentum, value and pension strategies.

Since 2007 Mr. Quigley has written over 80 articles which have been published on popular web   sites based in California, New York, London and Dublin.

Mr. Quigley is now lives in Dublin, Ireland and Tampa Bay, Florida.

© 2013 Copyright Christopher M. Quigley - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Christopher M. Quigley Archive

© 2005-2015 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Free Report - Financial Markets 2014