Keywords: Euro, Bonds
Graceland Updates 4am-7am
Email: s2p3t4@sympatico.ca
Apr 9, 2010
1. Friday is here. Report Card Time! First, let’s take a tiny peek thru the window of the public. Those fine feathered price chasers, let’s see how they did this week! Gold is surging to 1157 (!) as I write this, up $72 from the 1085 selling climax.
2. Well, the public, 94% of whom own NO GOLD, and bought NOTHING into 1085, didn’t do much of anything in any market, except stand there like the good little wieners they are, and wait for their next price chasing instructions from the trillionaire banksters. Gold soared, they watched, natural gas fell, they bought nothing, corn and wheat fell, and they asked if food would trade at zero, and bought nothing. THEY will trade at zero. NOT food, or gas, or gold. All in all, they did absolutely nothing. What a disgusting and disgraceful performance. These TOTAL MARKET LOSERS can’t even make an EFFORT to buy ONE CENT of any major asset on weakness.
3. The “volatility engines” are being fired up by the banksters. Are You Prepared? The Euro to Zero trade appears to be potentially over. Angela “Blowhorn” Merkel has gone totally silent, and head Euro Central bankster Claude Trichet has the bullhorn again, and his words are: No Greek Default! Against the background of a massive fund short position in the Euro, and the equally enormous long position held by the banksters, the Euro is positioned for, at minimum, a massive short covering upside price blast. The fundsters are inside the oven. The door is locked. The only question is: Will the banksters turn it on? My vote is: Do it! The funds are in hope mode now, hoping Merkel starts running her mouth again. The twist could be: She might, but her words could be Euro bullish this time! Remember, this is a woman who handed the banksters $500 billion in taxpayer money as a BLANK CHECK. Watch people’s actions. In the end, Merkel serves the banksters in action, and the taxpayers in words. A Euro rally could add fuel to the gold price upblast, to the point that gold blows thru 1225 like a knife thru butter.
4. I hope that those of you who sold your core gold positions into the $70 of strength used yesterday’s $10 of weakness to do some repairs. Sad Sack continues to watch gold, wildly excited, but has yet to commit a penny. He’s slobbering, but is just standing there, like the public. In the gold market, the PROFESSIONAL strategy continues to be: We’re on the sell, the profit booking side of things. Use sell pgens for trading positions that extend to $1400, and/or tight range pgens that take into account the low volatility. Do that while holding your core positions in an iron fist. Do NOT play with your gold core positions and try to outsmart the banksters with some chart obsessed over by a self-appointed guru. You will LOSE.
5. The Dow is flirting with a NEW HIGH. I rang my Citigroup Kachingo machine yesterday, as IT charges towards $4.50. The banks are having a free money party, and it’s being paid for with the mauling of the US dollar and the taxpayers, mauled by the Central Bank and the Gman. The central bank is lending the banks money for near-zero and for zero interest, and they in turn are buying the Gman’s bonds with the free money. Why loan to some factory or a young entrepreneur, when you can get free money from the Gman! The factory has to pay a zillion fees and duties to the Gman, so the factory may or may not pay back their loans. The Gman can just order the taxpayers to pay up any interest payments owed to the banksters. If the taxpayer chimps don’t pony up, they get thrown in the clink. Solid Deal, depending which side of the deal you are on. Perhaps we need a REAL tea party. I’d like to see it. There is no way the Gman is going to stop handing money to the banksters or the banksters will terminate their buying of his bonds, and likely “find” a few trillion marked to market OTCD’s that are worthless, and the Gman will have a revolution on his hands. THAT is what the Citigroup buy recommendation should say on the brokers’ research reports, because that IS reality.
6. King Kong thinks the BRAIN could be the greatest gold futures trader in the world. The brain has been silent for a month or so. Here’s why: He’s working with a programmer to mechanize a lot of what he does to handle much larger trades. For those of you who asked about managed money, I’ve been quiet for awhile, but that’s because of all this work going on behind the scenes on fronts involving Mr. Macro, the Brain, and Lion of Lebanon. We’re not building this as a tiddly wink show, it’s something being built to attract BILLIONS in institutional money. So if it takes a few more weeks, that’s because we want everything running like a brand new BMW car from DAY ONE, not a rusted out jalopy chasing price with some golf ball advisor at the wheel. At the wheel of: YOUR MONEY. I’m not going to stand in front of T-Rex, King Kong, Goldblood, or Goldbed holding a pack of Oscar Mayer wieners and say “this is a great deal!” That’s the update on the managed front and I think it’s SOLID.
7. A couple of you asked me about playing stocks like Citigroup with options. GS Mike is doing this. The spread is ultra-tight, at one cent. If you watched the movie “Wall Street” where Michael Douglas says “buy me 1500 calls” on some stock, you know the adrenaline (and blood drainage) that comes with the action that options offer. There is a time factor with options, and options are ONLY for GAMBLING MONEY. But the supertight spreads do work for pyramiding. I’ll post a video today on using these options on the site. You can run a 70% bull 30% bear pgen and probably do ok emotionally and financially.
8. I’ve also mentioned the Chicago One market, where you can buy futures on stocks. The futures don’t have the tight spread of the options, but they do come in 100 share contracts. Most of the MORONS in the gold community trade the SP500 futures contract. They are WAY out of their league, carrying far too large a position. You need to be able to buy dozens or even hundreds of positions to be a consistent winner. Don’t go to war in the SP500 market with one bullet. You’ll never be a consistent winner, sorry. The one bullet people use stoplosses (takelosses) to play big leaguers, thinking that will allow them to hold the SP500 futures tiger by the tail. Well, we all know what Mr. Tiger does when somebody grabs his tail… A futures contract on a stock like Citigroup is worth 450 bucks. That’s literally 1000 times smaller than the SP500 contract. You can always add MORE action.
9. You can also buy futures on Barrick, Newmont, and Goldcorp. At $40 a share, the contract for Barrick is $4000. That’s a lot less than the $115,000 for the comex gold contract, or the $35,000 for the mini gold.
10. ALWAYS TRADE SMALLER THAN YOU THINK IS RATIONAL.
11. Remember, the banksters are long junior golds and short intermediates/seniors against the fundsters, but that doesn’t mean they think the seniors are going DOWN in price. They simply believe the juniors will OUTPERFORM. (There’s also the minor detail that the fundsters are stuck short the juniors and the banksters have no intention of taking that position off them at these prices).
12. The GDXJ has been UP for 5 days in a row. The technical indicators look “solid”. I’ll do a run thru on the site this morning on the component stks.
13. The Dow itself has more of the technical indicators crossing to sell signals on the daily chart, yet the transports index has the same indicators looping up to BUY SIGNALS. This fact takes us back to the importance of using the pgen to initiate and exit positions. Team SP500 “the top is in” could get smoked if the industrials follow the transports.
14. Since I’m net LONG, that’s fine with me. More citigroup and Chinese mkt kachingos as I add more dow shorts. Fuel costs are soaring, yet the transport stocks are soaring. Respond to price with your buy/sell DECISIONS, and use analysis to TWEAK you’re the size and frequency of your response.
15. Bloomberg reports that Fannie Mae was “felled by a flawed business model”. Really? None of us realized that buying a house with a credit card and no down payment was a flawed model.
16. For those who think OIL is overpriced, I’ll be posting a monthly chart of oil on the site. The grand daddy TRIX indicator is JUST touching on a BUY signal. Oil may correct in the shorter term or it may not, but that chart to me has $200 written on it.
17. At $28 a bbl, you could buy the mini oil contract for $14,000 and have an ASSET. At $90 a bbl, it’s now $45,000.
18. For those who considered buying oil but didn’t, and regret it, you know why I keep harping on the agricultural markets.
19. Farmers are starting to plant crops like canola to replace wheat, as they watch wheat prices in the tank.
20. My farmer contacts tell me that we could be looking at wheat SHORTAGES by the fall!
See you on the site,
Thanks!
st
Thank-you
Stewart Thomson
Graceland Updates
Graceland Updates 4am-7am
Email: s2p3t4@sympatico.ca
Apr 13, 2010
1. It’s important to stay very grounded right now. The “good news” is that even the gold bears calling for a crash are looking for higher gold prices right now. For all intensive purposes, the bears have left the building.
2. That doesn’t make me feel comfortable. April is typically a fairly down month for gold. See Moore Research at www.mrci.com for details. So far it’s been an “up up and away party”, with gold up almost every single trading day. Gold is trading more as a currency now than as a commodity, so the seasonal cycles are much less reliable, although a recovery in the jewellery markets could bring back some reliability to the seasonal indicators.
3. The latest liquidity flows Gold Liquidty Flows Report show the banksters shorted about 37,000 contracts of gold into the strength, just through Tuesday April 6. By Sunday night, gold had touched 1170. I would expect the 37k number has increased significantly since Apr 6 thru Sunday night.
4. There is no easy money in this game. It’s all hard to make, and harder to keep. I bought gold this morning as it melted into the 1150 marker and right thru it, with no illusions that this is a “2 day correction”. It could be a 2dc and we’ll be at new highs within days, or 1170 may have marked a huge intermediate top. Nobody knows.
5. Oh, I forgot, yes a lot of people do know. Just as at 1085 they knew it was going to crash and sat at their computers with their head in their hands in vomit and bail mode, now they know it’s going to the sky and they have all the juicy juniors mine reports in front of them, while they count all the risk-free money they have coming.
6. My theme right now is that most investors have bought a bit between 1150-1170, but have not taken much action. They are excited by the price action, but have not done much buying, and certainly zero selling, despite an $85 price upside blast. That “should” mean prices are going higher, and investors will begin reporting to the price chasing wheel if we can take out 1170 on the upside. Just as the lemmings marched to the cliff at 1085, they will line up in a similar fashion to chase price above 1170. A move to gold $1400 is about a 20% move from 1170.
7. The $1225-1400 area is likely to see significant gold accumulation by weaker hands. They will tell themselves how smart they are, how they will sell at higher prices. Sell to who? The banksters? You want to be positioned now to book profit on a move higher to 1400-1700, not positioned to jump up and down like a gold FAN as it surges and buy because “now it’s really gonna go!” Sorry to inform everyone, but the big money in gold has already been made, and it was made by the banksters. Gold has quintupled from $250 to $1225. In the futures markets, there are more dollars to be made on a move from 1200 to 5000, than from 250 to 1200, but I’m afraid the banksters are more than aware of that little detail, and the beatdown they have planned for the leveraged gold futures traders as gold rises into the thousands of dollars as ounce could be an epic one.
8. The 1400 level will see the power of the huge weekly head and shoulders pattern diminish, until it is gone. Ironically, at that point the investors will bet heavier on their chart interpretations. We will be back dealing with much lower reward to risk probability plays. Combined with higher volatility, I think the end is very near for most gold traders who have not made the effort to consistently buy weakness and sell strength, with the mindset that gold is the ultimate asset and core positions must be gripped with an iron hand.
9. Complacency is the theme now in the stock market. The fiendish shorting of the market all around Dow 6500 and out of the hole to 9000 has been replaced with total complacency, by both the bulls and the bears. The bears continue to blab about how it’s all a bear rally, but the reality is that all their shorting programs have failed. They are broken financially and emotionally. They continue to wave the flag, but in terms of action, they are really bulls now.
10. The bulls are in Pinocchio mode. At least many of the bears can admit their failure. Not so for the bulls. The bulls were obliterated in 2008 and most will never recover in their lifetimes. Most simply pretend it never happened and file the losses in some filing cabinet and lock the door and focus on the few investments they have that have recovered slightly. The thought of actually analyzing those losses and learning from them does not exist. That involves pain and no self-respecting price chaser is willing to face any pain for any reason. The Dow might recover, but they don’t own any Dow, other than Cititgroup and GM, both of which were mauled 98% in price. Their investments are in companies like Enron, Nortel, broken banks and smaller companies and funds that are smashed forever, as a group. They bought zero into Dow 6500 but are beginning to take note of the “recovery”.
11. If you are a bull, you need to give yourself a reality check before buying now, after blowing a 70% rise, and blowing a 130% rise in the Chinese market. Think about the downside. Most investors have failed totally in the stock market, yet here they come again, ready for another beatdown at the hands of the banksters. Your buy orders on the Dow need to extend thousands of points lower, or you’ll never survive if the banskters decide to change the tone of their media game from recovery to nightmare.
12. Those of you in the gold community who are obsessed with the stock market going down, need to decide whether you are a player or a blabber. I’m not interested in blabbers. If you are a player, step number 1 is to make a commitment to trade vastly smaller than you think is rational, step up to the plate, start shorting the Dow here and now, with tiny bits of capital. Show some commitment to something other than a trendline or MACD cross or “chart set up”. A 6 year old can draw a bearish wedge pattern. Making money out of it involves a campaign, a war, not some plop of capital on a single roulette wheel price number while calling yourself an investor, then blaming everyone else when price moves below your lonely price point, one that looks like a dingy in the midst of a naval battle. Would YOU show up at a naval battle in a dingy and expect victory? Most investors do, and then they get in a rage when they are obliterated.
13. I went over the volumes of trading on the LBMA gold market with subscriber “Lion of Lebanon” at dinner recently. He’s a hardcore gold dealer himself who is phenomenally successful, and likely the best gold and oil juniors stock trader in the world. I said, “since the inception of the LBMA, given the numbers I’ve given you, which are the LBMA’s own numbers, how much in commissions do you think the bankster owners of the LBMA have generated for themselves?” His answer?
14. “Those numbers indicate total commissions are likely in the TRILLIONS.” In the political arena, in the freedom arena, the banksters are your enemy. Not in the market. In the market the retail public and the funds are your opponent, and the banksters are your supreme allies.
15. Technical analysis 101: The Euro exploded upside Sunday night, leaving a huge gap. Immediately the tech crowd surged in to analyze the gap. Why? I see that as self-sabotage. Keep things simple. The Euro gapped higher and could add fuel a gold super-rally. Let time decide whether the gap is false or real, not analysis.
16. There has not been a significant price gap on the Euro chart, one that has not been immediately filled, for 3 years, on the charts I use. Sunday’s night’s action could be extremely significant for both the Euro and for gold. When the price of a stock gaps higher, it is an indication of demand overwhelming supply, but it doesn’t take too much money to make it happen.
17. In the case of a major currency, it takes a huge amount of money to cause a gap, even on Sunday night. Here’s a look at the Euro chart for the past year. Euro Major Breakout?
18. You can see the intermediate downtrend line was taken out to the upside with gap, an extremely positive development, and one accompanied by a massive bankster long position, a price-chased overleveraged fundster short positive, the media propaganda campaign of the year, and technical oscillators flashing buy signals. A number of my subscribers wrote in as we went into the Euro lows wondering how much more pain they could take as they bought the Euro. As the pain intensifies, it's sign of two things: You are trading too big, and at least a temporary rally is near at hand.
19. The Euro is the main component of the US dollar index. I don’t need to connect the dots for you, as to what the setup is there for a dollar meltdown.
20. I look at liquidity flows. If you look at the actions of German’s Govt, lead by Angela Merkel, the flows are $500 billion to the banksters in a free money blank check, while running a rock concert with the top song being, “not one cent to Greece”, while mangling the currency of her people, supposedly to boost exports. Now you are told that Germany might raise rates “to defend the Euro”.
21. The bottom line is the banksters are starting to raise rates and doing it all over the world with various tactical actions. I don’t recall any point in modern history in the Western World when a mangled financial system came face to face with a major bond bear market.
22. Most gold investors and analysts think rising rates are gold-negative. I don’t, at least not in this situation. I think they are the single most gold-positive factor since the beginning of the bull mkt, surpassed only by the Pakistan nuclear threat, which has yet to take its horrific place on the gold stage.
23. In this bond bear, which many top bank analysts believe began in Dec 2008, a view I agree with, rates are rising as two groups of powerful investors move money out of bonds, while the public moves in, mainly into junk bonds. The first group moving out is institutional money that feels the recovery will put upwards pressure on rates as companies need to borrow money. I don’t buy that view, and had a long discussion with portfolio manager Mr. Macro about it, the man king kong calls the top investor in New York. Companies are sitting on wads of cash, and they are looking at stock buybacks, not borrowing money. I think the first group moving money out of bonds is correction in action, but for the wrong reasons.
24. The second group moving money out of bonds is institutional and bankster money concerned about the ability of Western Govts to meet their debt obligations. They are betting the govts will print money to meet the obligations, and buy their own bonds. That scenario, is essentially detailed with tremendous analysis by one of the top bankster organizations, the BIS, which is already essentially the central bank of the world’s central banks, much like the US fed is composed of “feeder” central banks in various states.
25. Martin Armstrong has summed the situation up perfectly, calling the banksters drug dealers and the governments drug addicts. The drug of choice being borrowed money. I think the banksters are preparing to take away the drugs from the drug addicts, and the BIS is showing its teeth right now in that regard. If you look at the history of the actions of the IMF in various 3rd world countries, the action is a severe raising of rates and cutting of spending. The BIS is an organization that operates very quietly but is really the most powerful financial entity in the world, and may be readying for an imminent attack on the world’s bond markets, a sort of supersized replay of the Rothschild-financed Soros attack on the pound, many years ago.
Thanks!
st
Graceland Updates 4am-7am
Email: s2p3t4@sympatico.ca
Apr 14, 2010
1. “Calling all cars, calling all cars!” Remember the dispatcher voice calling all the police cars to take action?
2. Calling all price chasers, calling all price chasers! The price chasers were correct. Gold DID have a 2 day correction, and price is surging higher this morning. The minor problem for Team Price Chaser, is they bought nothing into the lows that hit around 1146 yesterday, despite calling the market correctly, while I did, and no it wasn’t enjoyable doing that, and as I ring the golden cash register this morning as the gold train pulls into the 1160 station, yes that is enjoyable! I can see a huge crowd of gold price chasers lined up just past the 1170 buy stop station, lined up to board the gold bull train.
3. My suspicion is there are a LARGE number of buy orders just above 1170. That could trigger an upside blast that would take gold into a fairly overbought technical situation on the daily chart, and perhaps not just towards 1225, but on a rocket move thru there and on towards $1300. That type of move would send the price chasers into a buyaholic frenzy, with the banksters taking the entire other side of the trade.
4. When any item shows a “price pop” there is the odd time where that pop turns into a huge non-stop multi-month move, but even then it usually collapses after that action. Most of the time the price pop is followed by a disappointing sell-off, and that sell-off often goes below the price point from where the “pop” began. GS Mike at www.goldensurveyor.com is quite an accomplished trader, and coming into his own as a writer able to put the thinking behind his actions into writing, which is what makes information worth paying for. To paraphrase his words with my own: “I want to already own the item when the price pop occurs, so I’m booking massive profit into the pop, not chasing a rainbow with buy orders”.
5. The most powerful drug cartel in the world, the Bank for International Settlements, the BIS, has gone on the offensive against Western govt drug addicts. The drug of choice, is of course borrowed money (BM). Remember my words that gold goes on the offensive in 2010, no more defensive action. Now you have another granite block of fundamental reasoning behind that action being moved into place, via the BIS in action.
6. My view is that the shock of a LIFETIME is coming to Joe Blow investor out there. The average person doesn’t realize that the banksters think in terms of decades and even centuries with their planning. They sold the govts the idea of creating prosperity thru borrowing money and inflating asset prices with more and more debt. Real estate was the prime target of the game. The banksters made the most money out of the debt game on the way up, while most people actually lost in after-inflation numbers. The banksters will make exponentially more on the way DOWN, and Joe Blow will LOSE exponentially MORE, with the bankster winnings set to go into outerspace mode very soon. Here’s why: I think the coming high voltage shock treatment the BIS is preparing for the major govts of the entire world is designed to reveal the Gman as the Wizard of Oz who is sitting in the electric chair when the curtain is pulled back. I think the banksters will apply voltage. They have to, to put the next phase of their plan into motion, the creation of a global govt and central bank. The question is how much voltage they will apply to the Gman. Regardless, the Gman is going to, finally, face life on the defensive. Welcome, Mr. and Mrs. Gman, to the “new normal”. Where YOU feel the HEAT. The average citizen idiot, even today, actually believes govts can solve any problem they have. That’s a mirage mentality, carefully crafted by the banksters over decades. Most in the govt itself probably believe it too, but many know it’s a bankster scam, but profitable for them, so who cares.
7. I think it will occur very very quickly, the revelation that the govts are actually powerless to stop the OTCderivatives-fuelled wipeout, as the BIS applies the voltage. Millions of citizens actually view the govt as a God-like entity, and literally WORSHIP the Gman. Watching their saviour destroyed is going to, equally literally, send people insane.
8. There is no solution. That’s what almost no analyst wants to face, like facing our own mortality when faced with a terminal illness. There is NO solution, and when the average person comes to feel that reality, the possibility of mass panic is a possibility.
9. The banksters have obviously thought this thru a zillion times over, and they are prepared for a multitude of scenarios. The “solution” is going to be the banksters saying to the citizens, “look, your govts have failed you, your real estate is destroyed, your stock market investments are destroyed, and now your bonds are destroyed and even your money itself is now on fire. Your govts have failed you and we can’t allow that to ever happen again. YOU can’t allow it to ever happen again, for the sake of yourself and the coming generations of your own family. Millions of you are in bread lines, your businesses wiped out. Suicides are rampant. National govts are going to have to give up authority to a super watchdog, this is a global economy now, and no single nation can be allowed to get into a situation where they drag down the rest, including the United States. The bond markets and the paper currencies are burning, we have to take action to prevent a state of total chaos. Most of the world’s banks will close if we don’t act. The world’s central banks are meeting now to give the BIS, and perhaps the IMF, powers to ensure that no nation can default. Gold will play a role in the new global currency to limit any new debt issuance by member govts. This is a dire situation, but the bottom line is: You’re saved and we saved you! (and set things up so we become quadrillionaires when we unveil the next global crisis, but hey, that’s a minor detail, nothing for you to worry about!).” All the investor losers will dance up and down thinking they are saved and rush to the “trade freedom and your mother for a buck” bank window, to receive their “I’m a BIS/IMF lemming!” name tag. Family? Freedom? Who needs that when you can replace them with the BIS/IMF super-parents!
10. So we have two huge forces at work in the market now, battling against each other. On one side, there is the Bank for International Settlements, representing ALL the world’s banksters. On the other, there is Joe Blow Public investor dancing to the “recovery” music being blasted out at the Gman rock concert. The bond market is the battlefield and whichever side wins is going to decide the next monster move in the major markets. It COULD be the public that wins, or think they’ve won, at least temporarily. Bonds look like they could rally, but I’m afraid any victory is going to be very very short lived, and followed by a “nuclear” retaliation by the BIS warriors.
11. The coming volatility is going to be a result of action in the bond market, and Martin Armstrong has suggested that comes in the Sept/Oct timeframe. Jim Rogers has suggested the fall or winter of 2011.
12. While I don’t think there will be any gold confiscation, the possibility of the govt cutting off gold SALES is very real. The public wiener parade will go crazy when they see gold at $2000 while they are BURNING. The Gman will be in DESPERATON MODE at that point, and will absolutely refuse the banksters’ demands to cut spending. He will INCREASE spending, and watching his citizens buy gold en masse..ain’t part of that program!
13. In 1980 the banksters took the silver market to LIQUIDATION ONLY for 13 days. By cutting off the ability to buy gold, the Gman could cause a reverse situation, as gold becomes desperately sought. Getting rid of margin trading of gold, while causing a short term crash, would result in a super-tight physical mkt.
14. Even if the banksters don’t cut off the ability to buy, the dealers might do it themselves. They could be making more holding the gold than on the selling it, particularly if forward selling was halted, the key mechanism dealers need to make money in their business. All possibilities are ON the table as POSSIBLE in this crisis.
15. As the govts became more desperate, urging the citizens to spend more while the currencies burn, the possibility of a run on the banks needs to be REVISITED.
16. If the bond mkt is on fire, and the US dollar is abandoned by institutional investors in size who fear the govts are not heeding any advice from the BIS, citizens could start to think, “I better just take out ALL my money, before there’s NO VALUE”. That would be followed by waves of bank closures.
17. I cannot overemphasize the need to STAY AWAY FROM LOSERS when analyzing the current situation. Those telling you the crisis is over, did they buy any stock into Dow 6500, or were they liquidating? If the bond market rallies for a few weeks or months, does that short term price action NEGATE the ACTIONS of the BIS? The BIS calls the current situation potentially CATASTROPHIC [I can't find this in BIS WP No 300. -FNC] and the public is just getting their new credit card in the mail to buy up the real estate bargains.
18. Jim Sinclair calls the situation of a RECOGNIZED TOP in the BOND MARKET not just a factor in the gold bull market, but a PILLAR. Hello, GoldEarth to public investor on Pluto: The top analysts at major banks have labelled Dec 2008 as the TOP in the US bond mkt and MORE are coming to the bear table. Bill Gross, operator of the WORLD’S LARGEST BOND FUND, says the time for US Gman bonds is PAST.
19. ALL the statements of the above heavyweights are EXPONENTIALLY MAGNIFIED by the statements of the BIS.
20. Again, don’t confuse TACTICS with FUNDAMENTAL VIEW. The bond market could have a HUGE RALLY without changing the fundamental picture whatsoever. Focus on GOLD, not shorting bonds. What Mr. Macro and I have done with the Graceland Macro Portfolio (and a gold and commodity weighted portfolio is coming next) is provide professional tactics to play the bond mkt as the action unfolds. The short term bond against the long term bond. Like playing bullion and stocks in the gold bull market. NOW is the time for gold equities to OUTPERFORM, and they ARE. The gold community tried wading in and shorting the long bond, and quite frankly, the result was a massacre at the hands of the banksters, although most played small, thank goodness. Let’s “get” the bond, and make the Gman pay, so to speak, but let’s do it PROFESSIONALLY so we WIN.
21. Unknown to Mr Macro, I brought him in here to handle that task. He’s a currency and bond mkt EXPERT and I think I speak for us all when I say that there’s nothing that’s going to give me more satisfaction (other than the kachingo buzzer going off on my cash registers) than watching the Gman sit in his own bond and currency market electric chair, while we pull the switch. OK, it will be the banksters that pull the switch, but at least it’s going to be pulled! One more thing:
22. I want a front row seat in the viewing gallery.
23. Tons of action in the foods markets, energy, the Dow at another new high, and I want to cover it with some analysis on the site.
24. Speaking of food: I made an error, and it was a good one. I read a report labelling the DBA-nyse (aprox 25% each of sugar, corn, soy, wheat) as an ETN, and I repeated that error to you. An ETN is an exchange traded note. Nobody called me on the error, but the fact is ETN’s are riskier than ETF’s, in terms of system risk. I own the DBA myself, and DBA futures, and accepted the etn risk. It’s apparently NOT an ETN. It’s an ETF. That’s GOOD NEWS. ETFs are not system risk free by any means, but there is a higher comfort level there.
See you out there, both on the site and in the viewing gallery watching the Gman prepare for his electrocution. I guess the question is:
Is HE Prepared?
Cheers
st