Tuesday, December 08, 2015
Extreme Leverage in a Gold Futures Market Nearing the Breaking Point / Commodities / Gold and Silver 2015
The metals markets rallied strongly on Friday – action which came as a surprise to many. The gains snapped a 6-week losing streak for gold, silver, and platinum. Prices rose despite a stronger-than-expected November jobs report raising the odds the Fed will hike interest rates later this month.
Perhaps silver and gold futures finally caught a safe-haven bid on news of the terrorism-linked shooting in Southern California.
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Tuesday, December 08, 2015
Crude Oil Price Under $40! / Commodities / Crude Oil
Trading position (short-term; our opinion): Short positions with a stop-loss order at $54.12 and initial (!) target price at $35.72 are justified from the risk/reward perspective.
On Friday, crude oil reversed and declined sharply after the Organization of the Petroleum Exporting Countries' decision to keep production high weighed on investors' sentiment. Thanks to these circumstances, light crude lost 2.74% and slipped under the barrier of $40 once again. What's next?
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Tuesday, December 08, 2015
Keynes on the Menace of Printing Money / Currencies / Fiat Currency
How the celebrated economist might have structured his investment portfolio today
Read full article... Read full article...“I find myself more and more relying for a solution of our problems on the invisible hand which I tried to eject from economic thinking twenty years ago.” – John Maynard Keynes, 1946
John Maynard Keynes made that admission to Henry Clay, a member of the Bank of England's Advisory Committee, in 1946. Ten days later he passed away. Keynes had come full circle – from economic interventionist extraordinaire to proponent of Adam Smith's laissez faire. Twenty-five years after that, Richard Nixon would suspend dollar convertibility, scrap the Bretton Woods fixed exchange rate regime system of which Keynes was the principal architect and allow currencies and gold to float freely in international markets. The fiat money system of the late 20th and early 21st centuries was born. Though a radically different system from the one Keynes created in the aftermath of World War II, Richard Nixon declared upon its launch that "we are all Keynsians now."
Monday, December 07, 2015
Stock Market Santa Rally 2015 to New All Time Highs - Video / Stock-Markets / Stock Markets 2015
It's Déjà Vu for the stock market following another bumper US Jobs report of +211k that beat the academic economist average expectations of 180k that follows hot on the heels of the November US Jobs positive surprise that once more prompted the consensus to quickly conclude that a Fed December US interest rate hike was a near certainty and likely to result in strongly negative consequences for stocks.
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Monday, December 07, 2015
The Fed is About to Trigger a $9 Trillion Debt Implosion / Stock-Markets / Financial Markets 2015
The US Federal Reserve (Fed) and European Central Bank (ECB) have created a very dangerous situation.
Throughout the last six years, there has been a sense of coordination between the Fed and ECB. This was evident both in terms of where capital went as well as how it was delivered via monetary policy.
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Monday, December 07, 2015
Stock Market Sell Signals Developing... / Stock-Markets / Stock Markets 2015
SPX has declined through Short-term support, 2-hour mid-Cycle support and hourly mid-Cycle support to give it a sell signal again. Further confirmation may come beneath the 200-day Moving Average at 2064.56.
My new Wave count appears not to be valid. This market has whip-sawed the best and I am not exempt. However, the support/resistance levels still play an important role in determining the market direction.
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Monday, December 07, 2015
Nasdaq and NYSE Index Pointing to Higher Market Prices for 2016 / Stock-Markets / Stock Markets 2015
"Don't ever take a fence down until you know why it was put up." ~ Robert Frost
We have seen the same song sung over and over again by the Doctors of Doom; the markets are going to crash, the world is going to come to an end, or some other pretentious title. Let's cut to the chase, the markets are not going to crash; they could experience a strong correction at some future date but that would just present you with another opportunity to buy quality stocks. Could the markets crash? That is a possibility, but you could kick the bucket before the event plays out the way the naysayers have envisioned. In fact, one could go as far as to state that there has never been a real market crash in the true sense of the word and that every so-called crash event was nothing but a buying opportunity in disguise. Crash or correction is a matter of perspective and that perspective depends on where you boarded the train; if you got in towards the end of the ride, then it will certainly feel like a crash. We will examine this concept in more detail in a follow-up article.
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Monday, December 07, 2015
What Deflation Quacks Like / Economics / Deflation
As yet another day of headlines shows, see the links and details in today’s Debt Rattle at the Automatic Earth, deflation is visible everywhere, from a 98% drop in EM debt issuance to junk bonds reporting the first loss since 2008 to corporate bonds downgrades to plummeting cattle prices in Kansas to China’s falling demand for iron ore and a whole list of other commodities.
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Monday, December 07, 2015
BIS Warns of ‘Uneasy Calm’ in Financial Markets Before Possible Debt Storm / Commodities / Gold and Silver 2015
The Bank for International Settlements (BIS) has warned in its latest quarterly review that the current ‘uneasy calm’ in financial markets might be short lived, threatened by the Fed’s widely expected interest rate hike – the first rate increase in a decade.
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Monday, December 07, 2015
The NYA Index is in a Triangular Pattern ... Very Close to a Breakout / Stock-Markets / Stock Markets 2015
A money battle is going on as Inflowing Liquidity levels are trying to keep the market up and Institutional Investors are resisting by staying in low Distribution and not taking Inflowing Liquidity's direction yet.
This should be a volatile week with higher than normal risk levels.
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Monday, December 07, 2015
Soros' Financial Markets Reflexivity Gone Too Far / Stock-Markets / Financial Markets 2015
Evidence of Soros' Theory of Reflexivity remaining prevalent in financial markets re-emerged this week as the euro made its biggest single day advance since the Fed's announcement of QE in 2009. Simply put, the euro soared 4% due to misplaced and unfulfilled market expectations that the ECB would increase the size of its monthly asset purchases. The crowding out of euro-short algos was pivotal in the magnitude of the resulting short squeeze. But questioning the intensity of euro shorts deserves more time and attention than criticizing or doubting a central banker's decision.
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Monday, December 07, 2015
Popular One-year Pensioner Bond is Coming to an End / Personal_Finance / Saving Bonds
January marks the one-year anniversary of the launch of the 65+ Guaranteed Growth Bonds (also known as the Pensioner Bonds), which means that those who invested in the one-year fixed version would be wise to start looking for a new home for their cash.
It’s estimated that over a million older savers snapped up the one and three-year bonds paying 2.80% and 4.00% respectively last year. According to calculations by Moneyfacts.co.uk, savers will have earned £280 in interest before tax if the maximum of £10,000 was invested over the one-year term.
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Monday, December 07, 2015
Stocks Retraced Thursday's Decline - New Rally or More Sideways Action? / Stock-Markets / Stock Markets 2015
Briefly: In our opinion, speculative short positions are favored (with stop-loss at 2,140 and profit target at 1,990, S&P 500 index)
Our intraday outlook is bearish, and our short-term outlook is bearish:
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Monday, December 07, 2015
How To Calculate VoIP Costs And Bandwidth In Order To Save Money / Personal_Finance / Money Saving
There are various different reasons why you would want to take advantage of VoIP (Voice Over Internet Protocol) services. We can say that there are numerous advantages that instantly appear when you compare with the regular telephony models. However, this does not mean that you can simply go to the first VoIP provider and get a wonderful deal that you are going to love. You want to be sure that you save as much as possible and that you make a good decision.Read full article... Read full article...
Monday, December 07, 2015
Will The Fed Hurt The S&P 500? / Stock-Markets / Stock Markets 2015
Stock markets have had a very interesting year in 2015, and many investors have viewed some of the activity with a high degree of skepticism and uncertainty. There are good reasons for this, as it has been very difficult to assess whether or not the US Federal Reserve is actually prepared to start raising interest rates. Without solid information in this area, it can be difficult to start identify the true directional trend that is present in the market. Luckily for investors, these scenarios have started to change.
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Monday, December 07, 2015
Silver Rides Along with Gold Price Breakout / Commodities / Gold and Silver 2015
Silver broke out with gold on Friday, following an extraordinary plunge in the dollar on Thursday. On its 3-month chart we can see that the ground had been well prepared for this move, with an intermediate base pattern having formed above support for about 3 weeks prior to the breakout. The preceding persistent decline included an extraordinary 15 days down in a row. There were various indications of an impending upside breakout, including the appearance of a bull hammer at the support and a bullish cross by the MACD indicator above its moving average, the large gap with moving averages, and, in the background, silver's COT was improving and gold's COT had become remarkably bullish by last week.
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Monday, December 07, 2015
Gold Price Convincing Upside Breakout Triggering Start of Intermediate Uptrend / Commodities / Gold and Silver 2015
On Thursday the dollar reversed dramatically to the downside and on Friday gold broke out upside, with both developments being predicated by the most bullish gold COTs for 14 years.
On gold's 3-month chart we can see that, after trying the patience of bulls for weeks as the COT pressure cooker intensified, gold finally broke out on Friday. This was a big decisive breakout on strong volume which COTs indicate is "the real deal". Fortunately the COTs were already so bullish a week ago that we went long ETFs, stocks and Calls before the breakout. As we can see, even after Friday's big move, there is lots more upside potential here, as gold is still heavily oversold on its MACD and way below its 200-day moving average.
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Monday, December 07, 2015
Shaking the Stock Market Bush / Stock-Markets / Stock Markets 2015
First I would like to apologize for not having any posts on Friday as I had a previous commitment made several weeks ago. I told Fullgoldcrown Thursday night, of all the days to miss work it would have to be Friday. That’s one of the reasons I exited the stock market trades as I know how volatile these 3 X etf’s can be and with the numbers coming out Friday morning I wanted to play it safe right or wrong.
All in all we had some pretty interesting price action in the stock markets on Friday that was very positive. Lets start by looking at the INDU which I’ve been showing a H&S consolidation pattern forming. Thursday’s the price action closed below the 200 dma which is another reason I exited the stock market trades but Friday’s rally closed the day just below of the neckline and back above the 200 dma. What I find interesting is Thursday’s low was a reverse symmetry low taken from the left shoulder’s higher low on the far left hand side of the chart that matches the higher right shoulder low on the right side of the chart, Friday’s price action. We now have two neckline symmetry lines. The neckline symmetry lines are just parallel lines taken from the big neckline that sometimes shows us where to look for the lows for the right shoulders. So at this point the reverse symmetry is as pretty as it gets as shown by the S’s.
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Monday, December 07, 2015
Wild Week for the Stock Market / Stock-Markets / Stock Markets 2015
Current Position of the Market
SPX: Long-term trend - Bull Market
Intermediate trend - SPX has resumed its uptrend in order to complete the last phase of the bull market.
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discuss longer market trends.
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Monday, December 07, 2015
Downsizing the News Staff; Downsizing Quality and Credibility / Politics / Mainstream Media
On Monday, Nov. 2, every National Geographic staffer was told to report to the magazine’s Washington, D.C., headquarters the next day to await a phone call or e-mail from Human Resources.
Ever since Rupert Murdoch’s 21st Century Fox corporation bought the magazine in September, there were rumors the new owner would maximize profits by terminating employees. Those predictions came through when Management fired 180 people, and told dozens of others they were being offered “voluntary buy-outs.”
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