Thursday, December 29, 2011

Italian Interest Rates 7%+

Uggg.

The EUR/USD is already below the lower level. Next, it will be below the lowest possible level per Leonardo Fibonacci! Ick!!!!!!!!!!!!!

That single US morning we have warned about for the US banks? It's coming.

Wednesday, December 21, 2011

Just more physics for the record - should help PHARMA alot

The Natural Theory of Space Quantum 2011


Abstract:

Physical space is shown to be a contiguous growth. Wave mechanics and Newtonian (through Einstein) mechanics can be united in the absence of a time t.


Introduction:

Space is not the existing illusion of our senses; instead, space is quantized and defines itself physically per the (Fibonacci ) infinite sequence:


with seed values


The ratios converge:





Where the “golden ratio”






Fibonacci Space:

Adding to, subtracting from, retracing within, and all physics regarding space quanta are events within at least one quantum and changing only at quantum borders (boundaries) per the natural sequence.

For example, the “speed of light” c (Einstein ) is limited because the particle (photon) does not truly travel through (Newtonian ) time and continuous space.

In fact, the particle travels through contiguous space quanta, one by one.

In the Newtonian sense of velocity through continuous space, there should be no limit to velocity. In quantum space, the analogy to Newtonian velocity is the spatial travel across quantum boundaries. Each boundary crossing is the “same” event for light and its velocity is bounded by c in the “sense” of a time t.

There is no real time t; instead, the “particles” travel only in space from one quantum to an adjacent quantum.

As the “growth” sequence itself, successive quanta are different in “size” by the factor:

φ = 1.618


The illusion of Newtonian time should cause a quantifiable perception of the speed of light c relative to space quanta:



Accept: c is the perceived absolute electromagnetic velocity and measurement velocity as known today.

Assume: physical reality is a transition from one region to the next region in space.

Then: particles with subatomic sizes on the order of space quantum boundaries may not traverse the boundary in the same way our senses perceive the transition. This serves to gauge the boundaries between spatial regions.

And: very spatially large and/or “distant” entities may be misrepresented by our sensual (time) measurements by the factor 1.618 for each spatial boundary from our innate sense and our measurements.

And: we as humans experience only the sensual approximation of Newtonian and Euclidean continuity.



Physical relevance is solely the traverse across spatial quantum boundaries.


A two dimensional visualization of quantum spatial boundaries is suggested by the Fibonacci spiral .







A Five Dimensional View of the Spiral:

Physically, we cannot achieve 2 from 0 and 1. We can only achieve 1 from 0 and 1. Following, we can achieve 2 from the adjacency of 1 and 1. And so on.

Since we live in three dimensions, we can easily see the two dimensional intersection within the Euclidean spiral, i.e. the linearity of the spiral intersects with a maximum of three adjacent two dimensional regions.

Space itself, as we know it, is three dimensional. If we lived in five dimensions, we could easily see the three dimensional intersection of a two-dimensional “spiral” with “five” regions of three dimensional space per the natural sequence.

We do not live in five dimensions; instead, we live in three.

The natural sequence begins with the seed values 0 and 1. Perhaps we could visualize 3 from 5 and 5 from 8. But we cannot visualize 3 from 4 or 8 from 9. Physical relevance is solely the traverse across adjacent natural boundaries.

Wave Mechanics:

Wave mechanic princples (Schrodinger ) show:



and so the approximation

ΔxΔk ≥ O(1).

One result (ramification) is a temporally related uncertainty in measurements.

Wave mechanics mathematically defines observations (perceptions) differing from Newtonian continuity; however, wave mechanics is a physical discipline that utilizes the concept of time t,

e.g. Δk depends on a perceived time t (and mass m)

The mathematical (Fourier ) representations (transformations) are not physically real in the sense of a time t.

Boundary Size:

One possible (sensual) estimation in one dimension of spatial boundary size (between adjacent quantum) could be suggested by:


(Width of boundary)2 = Constant x (Time required sensually for continuity)

(In similar mathematical form to E=mc2.)

Using orders of magnitude 10-27 “sec-cm” suggested by wave mechanics and estimating the “speed” of sensory communication in the range 10-3 sec – 10-6 sec, we would then estimate the magnitude:

b ~ 10-16 to 10-18 meters (for example)


Contiguity of space quantum should be mathematically defined beginning with the natural sequence. That is beyond the scope of this letter.


Intermediate Review:


While we can mathematically achieve 2 from 0 and 1, we cannot physically achieve two from nothing and something.

Each space quantum “experiences” only each of its boundaries.

The juxtaposition of space is physical reality. The sense of time serves to approximate
physical laws and works well within the bounds of our senses.




Indications:

Entropy:


What we call entropy is in fact a “direction” through Fibonacci space that incorporates an increase in “size” throughout the sequence per the “golden” or “natural” ratio φ.

We cannot propel ourselves 10 meters across the Planet Earth’s surface without an “energy” (the units of which are not a real function of “time”) and similarly a subatomic “particle” cannot propel itself across a spatial quantum boundary without energy.

This serves to increase the “energy” in the following quantum by the factor φ and gives rise to the concept of entropy.


Small Particles:


Spatially (relatively) small particles (entities) with enough energy should have no problem traversing the boundary from one quantum to the next as directed by the entropy of space.

Spatially and massively (energetically) small particles may not be able to traverse the boundaries at all.

In that case, such “particles” could be left behind in space and would not entropically move forward. It seems possible such particles could in fact remain “backward” in the entropical sense.


Massive Energy:

For example, a “large energy between” two relatively small “particles” should easily provide a contiguous directional result through the entropic spatial sequence.

Per the natural sequence of space, mass does not bend (warp) space; instead, space is physically real and unalterable directly by mass (matter) and is independent of the sense of time.

Matter is defined by mass and “consumes” and exists in real space, e.g. our sun has a relatively large mass and “uses” a large amount of space as we know it.

The sun follows across all quantum boundaries along with us.


Space Warp:

The bending of space around mass is not physically real in three dimensions; instead, it is a sensation (illusion) from our innate continuous imagination of spatial contiguity.

The alteration (warping) of three dimensional space can take place through (within) five dimensions per the natural sequence, but cannot take place within three or “four” dimensions. The natural sequence is physical, not arithmetical, and five follows directly from three.


Negative entropy:

Negative entropy can only be achieved through five (maybe three) dimensions. Nothing can be achieved through four dimensions.

Intermediate Summary:

Time is not physically real. It is a neurological simulation of continuity from a real spatially contiguous universe.

There is energy and space. There is no time t.

The idea of a physical time t would mean that “time is continuous, directional, has no real dimension except as previously indicated by a clock, was created somehow unknown to anyone, but still has a real physical significance.” This writing holds that view to be unreconcilable.


An Eight Dimensional View:


In Fibonacci space, our 3-dimensional experience intersects with eight separate five dimensional regions at each boundary.

The boundaries are supposed to be relatively small in a spatial (and energetical) sense.

In the entropical sense, an energy compatible with a boundary region could exist “within” a boundary neither moving forward or backward.

In that case, it seems the specific energy may experience one, several, or all of the intersections.

At such an event, the energy (particle) could traverse among three-dimensional regions of our (experiential) Fibonacci space.

Indications:


Least Energetic Level:

In our experience, everything “falls” to the lowest energy state.

An example would be water flowing through a drain from a sink into a pipe through another pipe and into an urban main drain system leading into a waste water retreatment plant.

The water obeys our perceived law of gravity and falls through pipes “heading” and “directionalized” toward the center of the Earth where the water would experience no other energy realtively speaking. If the water could in fact reach Earth’s center of gravity, it would have fallen into a weightless environment as if the water were in orbit and falling “off” the edge of the Earth.

Similarly, chemical states react into the lowest binding energy form until some larger applied energy can change the state.


Lowest Entropic Level:

The lowest entropical level should be “backward” along the path to higher entropy, i.e. a change of direction toward lower entropy.

In the absence of forward entropical (motion) direction, it seems a particle (entity, maybe having a mass) may seek a lower (backward) entropical state, e.g. a particle within a spatial boundary may be able to traverse various boundaries and may “gravitate” downward in the energetical sense in a similar way to the experience in our three dimensional world.


The Square Law Relationship:

The Einstein2 square law relationship E=mc2 is also dealt with in the Schrodinger6 equation and also in many perceived natural forces like sound and gravity.

The Schrodinger equation needs to include “i”, i.e. the square root of negative one.

Similarly, the natural sequence could proceed in a “negative” direction with the seed values 0 and -1 with physical reality being a “square” and with all ratios matching the positive sequence.

But mathematics is a measurement result of physics, not the other way around.


Negative Entropy:

Negative entropy could be mathematically resolved by an “inverse or reverse” sequence, but physically real negative entropy should only be three-dimensionally achieved through the spatial via-ways resulting from intersecting spatial and energetical boundaries.


Conclusion:

Space is not subject to our views of arithmetic; instead, space is defined by the natural sequence. Contrary to our sensations, time is not physically real. Time is a good measurement approximation in our macroscopic physical world and “historically” is built into all units of energy, measures, and our perceptions.

Space and energy directionally build the concept of entropy.

The dimensionality following from Fibonacci space also implies boundaries. The boundary dimensions are suggested by quantum (wave) mechanics.

Negative entropy should be achieved by exacting the correct energy. Not the most or least energy; instead, the correct energy corresponding to the spatial boundary.



References:

ECB Decision - 2011

We conducted a short experiment in a local establishment in the holiday spirits.

We put money under a shell at the bar. Then we put 4 additional "empty" shells in the same proximity and mixed them all around.

Then we asked people to find the money. If they found it, they could keep it.

Guess what happened?!

Exactly 80% of folks didn't get the money and exactly 20% did!!!

We are going to do the math on this and report back to the ECB.

Tuesday, December 20, 2011

ECB 1% Loans from German Tax Payers

Germany is poised to take a huge bite out of the proverbial xxxx sandwitch... ick.

Free loans backed by taxpayers for the lazy folks in the South. (And it won't even work.)

That is a magnanimous and supreme philanthropic effort.

The world admires you and thanks you.

Sunday, December 18, 2011

Hong Kong (EUR?) Banks

Oh ya... ya.. here they come... oh ya... do... do... ya... try... keep trying... get the ratio up there... more... do...do... keep doing... do not let us all down now...!! ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha!!!!

keep trying!!

Monday Morning in Europe

No one knows. Our guess?

The powers that be (ick) try to raise the EUR/USD but fail; instead, possibly there is collateral damage from the EUR fallout after "expiration day!"

ha ha ha ha ha ha ha.

Thursday, December 15, 2011

New Physics - Should Help Pharma

The Natural Theory of Space Quantum December 2011

Space is not the existing illusion of our senses; instead, space is quantized and defines itself physically per the (Fibonacci ) infinite sequence:


with seed values


The ratios converge:




Where the “golden ratio”



Adding to, subtracting from, retracing within, and all physics regarding space quanta are events within at least one quantum and changing only at quantum borders (boundaries) per the natural sequence.

For example, the “speed of light” c (Einstein ) is limited because the particle (photon) does not truly travel through (Newtonian ) time and continuous space.

In fact, the particle travels through contiguous space quanta, one by one.

In the Newtonian sense of velocity through continuous space, there should be no limit to velocity. In quantum space, the analogy to Newtonian velocity is the spatial travel across quantum boundaries. Each boundary crossing is the “same” event for light and its velocity is bounded by c in the “sense” of a time t.

There is no real time t; instead, the “particles” travel only in space from one quantum to an adjacent quantum.

As the “growth” sequence itself, successive quanta are different in “size” by the factor:

φ = 1.618



The illusion of Newtonian time should cause a quantifiable perception of the speed of light c relative to space quanta:

Accept: c is the perceived absolute electromagnetic velocity and measurement velocity as known today.

Assume: physical reality is a transition from one region to the next region in space.

Then: particles with subatomic sizes on the order of space quantum boundaries may not traverse the boundary in the same way our senses perceive the transition. This serves to gauge the boundaries between spatial regions.

And: very spatially large and/or “distant” entities may be misrepresented by our sensual (time) measurements by the factor 1.618 for each spatial boundary from our innate sense and our measurements.

And: we as humans experience only the sensual approximation of Newtonian and Euclidean continuity.



Physical relevance is solely the traverse across spatial quantum boundaries.


A two dimensional visualization of quantum spatial boundaries is suggested by the Fibonacci spiral .






A Five Dimensional View of the Spiral:

Physically, we cannot achieve 2 from 0 and 1. We can only achieve 1 from 0 and 1. Following, we can achieve 2 from the adjacency of 1 and 1. And so on.

Since we live in three dimensions, we can easily see the two dimensional intersection within the Euclidean spiral, i.e. the linearity of the spiral intersects with a maximum of three adjacent two dimensional regions.

Space itself, as we know it, is three dimensional. If we lived in five dimensions, we could easily see the three dimensional intersection of a two-dimensional “spiral” with “five” regions of three dimensional space per the natural sequence.

We do not live in five dimensions; instead, we live in three.

The natural sequence begins with the seed values 0 and 1. Perhaps we could visualize 3 from 5 and 5 from 8. But we cannot visualize 3 from 4 or 8 from 9. Physical relevance is solely the traverse across adjacent natural boundaries.

Wave Mechanics:

Wave mechanic princples (Schrodinger ) show:



and so the approximation

ΔxΔk ≥ O(1).

One result (ramification) is a temporally related uncertainty in measurements.

Wave mechanics mathematically defines observations (perceptions) differing from Newtonian continuity; however, wave mechanics is a physical discipline that utilizes the concept of time t,

e.g. Δk depends on a perceived time t (and mass m)

The mathematical (Fourier ) representations (transformations) are not physically real in the sense of a time t.

One possible (sensual) estimation in one dimension of spatial boundary size (between adjacent quantum) could be suggested by:


(Width of boundary)2 = Constant x (Time required sensually for continuity)

(In similar mathematical form to E=mc2.)

Using orders of magnitude 10-27 “sec-cm” suggested by wave mechanics and estimating the “speed” of sensory communication in the range 10-3 sec – 10-6 sec, we would then estimate the magnitude:

b ~ 10-16 to 10-18 meters (for example)


Contiguity of space quantum should be mathematically defined beginning with the natural sequence. That is beyond the scope of this letter.


As an Intermediate Summary:


While we can mathematically achieve 2 from 0 and 1, we cannot physically achieve two from nothing and something.

Each space quantum “experiences” only each of its boundaries.

The juxtaposition of space is physical reality. The sense of time serves to approximate
physical laws and works well within the bounds of our senses.


Entropy:


What we call entropy is in fact a “direction” through Fibonacci space that incorporates an increase in “size” throughout the sequence per the “golden” or “natural” ratio φ.

We cannot propel ourselves 10 meters across the Planet Earth’s surface without an “energy” (the units of which are not a real function of “time”) and similarly a subatomic “particle” cannot propel itself across a spatial quantum boundary without energy.

This serves to increase the “energy” in the following quantum by the factor φ and gives rise to the concept of entropy.


Small Particles:


Spatially (relatively) small particles (entities) with enough energy should have no problem traversing the boundary from one quantum to the next as directed by the entropy of space.

Spatially and massively (energetically) small particles may not be able to traverse the boundaries at all.

In that case, such “particles” could be left behind in space and would not entropically move forward. It seems possible such particles could in fact remain “backward” in the entropical sense.


Massive Energy:

For example, a “large energy between” two relatively small “particles” should easily provide a contiguous directional result through the entropic spatial sequence.

Per the natural sequence of space, mass does not bend (warp) space; instead, space is physically real and unalterable directly by mass (matter) and is independent of the sense of time.

Matter is defined by mass and “consumes” and exists in real space, e.g. our sun has a relatively large mass and “uses” a large amount of space as we know it.

The sun follows across all quantum boundaries along with us.


Space Warp:

The bending of space around mass is not physically real in three dimensions; instead, it is a sensation (illusion) from our innate continuous imagination of spatial contiguity.

The alteration (warping) of three dimensional space can take place through (within) five dimensions per the natural sequence, but cannot take place within three or “four” dimensions. The natural sequence is physical, not arithmetical, and five follows directly from three.


Negative entropy:


Negative entropy can only be achieved through five (maybe three) dimensions. Nothing can be achieved through four dimensions.

Wednesday, December 14, 2011

EUR/USD Trade - Lack of USD Printing Perceived

Of course, the current outlook for USD PRINTING is slight following no news of anticipated printing from the FOMC minutes and still with only one sole disrespected fellow advocating turning on the printing presses.

BUT that could easily change by January.

The hope and dreams of the insti's now is that they can stay in business until... well... until Jan2011. Probably not though.

Huge EUR/USD Decline

Yes, there have been three days of equity selling to go along with the EUR/USD collapse, but there has not been as much equity selling as we would expect.

In that case:

1. Expect more US equity selling.
2. Realize that if the EUR/USD goes way down and equities only go somewhat down, then the difference is taken up by the purchase-of-puts. That puchase forces the ratio down and can bypass (temporarily) the forced selling of equities.
3. The volume today moved from US equities to Forex. This is weird and keep watching!
4. There are plenty of ways to grow massive wealth through insti mistakes.

TV Advertising to SELL GOLD

The C.N.B.C. ran a long expensive ad today for selling gold.

Except for that, we would recommended to hold for now.

We want to buy on dips.

Someone(s) paid lots of $$ to try to get you to sell gold, i.e. that someone(s) want to BUY.

Be careful with this new confirmation.

The ad is probably somewhat successful so let that take effect.

Then, as we said, buy on dips!

Take confirmations as clear as this one when they come(!)

Tuesday, December 13, 2011

1.242 EUR/USD

1.242 "Street" may be the important level to watch now.

No big deal, the 1.242 ratio would simply get the planet back to the start of the Ben Bernanke "printing press monopoly" syndrome.

Of course, all the banks will be worthless by then because they took on way-too-much additional risk with your "real" money (currency).

Oh well, economics is economics. Sometimes the stupid are as the stupid do.

MF Global $1.2B "Gone"

The C.N.B.C. says no big deal. Gone is gone.

But that's kind of like saying the planet just lost 200T KWH of energy from the Hoover "dam" and it is simply GONE, i.e. it didn't go anywhere.

Ah... well... ah... probably someone simply , made it kind of... well... ah... kind of... a ... HARDER TO FIND!

Dah.

Crooks are crooks. Do not "forget" the crooks as the Consortium communicates. When is fraud "fraud" and when is it legal?

Shorting Instructions for US Equities

1. Short immediately.

2. Do this intelligently with low risk per our derivative rules.

3. Allow yourselves enough time, e.g. Jan12 expiration or later.

4. WATCH the EUR/USD overnight, the insti's will try their best to raise the ratio.

5. If the ratio continues lower, the banks will be forced to sell everything but the proverbial kitchen sink.

Consortium Currency News (C.N.B.C.) - Occupy Wall Street

Here is the direct and official communication from "Wall Street" -

1. This quarter (fiscal Q) will be the BEST RISING quarter in the history of the planet Earth.

2. Nobody cares about the EUR/USD collapse. In fact, NO ONE was anticipating PRINTING PRESS CRIMES regarding the US Dollar from the FOMC Minutes today. The "info" was "incorrect" and crimes were NOT committed - ooops.

3. The banks are all fine. They will prosper in January(!!)

HAHAHAHAHAHAHAHA HA HAHAH AH HAHA HA HAHAHAA AAAHHHHHAH HAHAHAHAHAHAHA!!

Buy gold on the dips. Sell equities before you become just another victim.

Worldwide Financial Collapse

Per our 11/26 post, Wed. morning could be that single US morning that reminds us of 2008 in the fourth Q.

The EUR/USD has fallen so far and so sharply at the "disappointment" about the US not participating in FUNDING the worldwide currency collapse for now that lots of things could happen, e.g. US banks being forced to commit crimes -or- instead to sell everything they own at a loss and to then default on YOU(!) Uggg

Well, the institutions put themselves and your money in that predicament, not YOU! Best wishes!!

If not Wed. let's hope it's not simply Thur. instead.

Monday, December 12, 2011

EUR/USD - Bank and Institutional Collapse

On 11/21 we defined 1.312 Street.

The ratio is nearly there. Per 11/21, the next stop is a bad one.

SERIOUSLY if the ratio drops below 1.312 the banks have only three choices:

1. Bankruptcy (with YOUR money, not theirs)
2. Falsifications leading to possible PRISON time -or-
3. Super money printing by Benny B.

OR...??? Of course, the insti's could in fact simply 'leverage' YOUR money even MORE and play the game of "double-or-nothing"... Of course, it would be YOUR nothing.

Be careful!

Thursday, December 8, 2011

How to Trade for US-Friday

Lets see:

1. EU meets. Worthless, but politicians will try to say something to help markets believe the "Euro-Zone" has a value. It does not, but they will say it does. News sources, paid by bond holders for "ads" will try to convince everyone that the Euro-Zone is trustworthy.

2. It is possible that people believe everything on Friday and US Equities trend way up... ha ha. If so, be ready to short and take their money.

3. Especially if the market goes way up prior to the weekend, short. Or, buy put spreads as we have shown to limit risk, etc., but effectively short.

4. If the market goes down Friday, especially significantly, then do nothing because it will decline further soon.

5. Watch the price of GOLD carefully and determine for yourselves whether the WW Markets perceive the USD is strong or whether they perceive currencies are trash.

6. Look for opportunities on Friday in GOLD and EUR/USD = US Equity Indices.

GOLD and the PRINTED USD

The EUR/USD controls everything because the US institutions have invested all of your money greedily in the Euro-Twilight-Zone. We hope everything works out... but probably it won't work out very well for you.

In the present, as the EUR/USD has decreased, GOLD has decreased as well. What does that mean?

It means that GOLD is trading as a "commodity" that will decrease in relative value as the USD rises.

(As opposed to GOLD RISING as a "currency" because no one trusts worldwide currencies at the present time.)

In other words, the "worldwide markets" would rather trust the USD instead of GOLD. That means, the planet (and all the crooks who leak information) believes the USD will NOT be "printed" any time soon. This is an important temporary confirmation.

Frankly, our clients should NOT believe what the "market" believes about GOLD. It is not at all clear that Uncle Benny will not be forced to PRINT USD.

Be careful.

EU can Save Itself Friday?

There is only one way for the Euro-Zone to legitimately save itself... as we said many times, Germany would have to bankroll all the lazy folks who don't even work a 5 day work week.

Probably Germany is not stupid or corrupt enough to do that. Of course, anything could happen(!)

The only other way (illegitimate way) is to "print" Euros. The Germans are the only real losers in that case because then their wealth is severely devalued in order to make Italians rich. Good deal for the Germans...!

The idiots on the River Island want EUR to be printed. Because the River Island folks are "slow" to understand that the USD would skyrocket then and US Equities would be worthless.

Unless... ah... unless the River Island already knew that Benny B. would then print even MORE currency.

Of course, the River Island folks don't realize that would be a problem for the Republican Party heading into an election year.

River Island "professionals" are really quite simple; otherwise, we wouldn't be in this stupid mess.

Maybe a large sand bar could destroy the river island some day and the US could get back to prosperous times?!

US Bank Collapse - JP and BA go First

Today, the Consortium for Nationwide Banking Collapse in fact ran an "ad" prompting you to purchase the common stock of US financial institutions... ??!!... haha ha ha ha ha ha hah a hah aha ha hahahaah h aha ha ha ha ha ha!

Good idea! Do it!! None of our clients will, we will short instead.

Europe is not a regional economic issue, it is a US BANKS HAVE INVESTED HEAVILY IN JUNK BONDS THERE issue.

This is 2008 all over again. And some of the poor folks have the Consortium to thank for their losses. Icky.

EUR/USD Technicals - from 11/21

Our 11/21 technical entry remains correct.

We have recently re-entered the level where one more crossing gets us to "worldwide financial collapse avenue"...

We're sure the EU will advertise whatever is possible to prevent crossing that Avenue on Friday in the "Euro-twilight-zone." We suspect the EU needs help from the Consortium for... Nationwide Bank... well, you know.

Wednesday, December 7, 2011

EU Summit and EUR/USD = US Equities, Commodities, and GOLD as Currency

No one needs a redundant summary of the EU.

Predictions (views into the future) have value, not the problematic and "simple" EU history which has zero value... in fact, negative value.

Thursday in the EU? FABULOUS revelations about how the EU is in fact valuable.

Friday in the EU? Probably more of the same.

No later than Monday in the US? The realization that the planet is screwed one way or the other. Screwed is screwed by any other word(s). Uggg.

We hate it when poor people get fooled and lose their money, e.g. by effectively buying euros so the insti's can prosper.

Tuesday, December 6, 2011

EUR/USD - Technicals

Wow... after our extended turkey vacation the EUR/USD has risen "slightly" i.e. in between our two intervals.

Watch and learn. "Gravity" will be in action soon.

Fraud by any other word

Fraud by any other word is still fraud.

For example, suppose the insti's create a situation where the "euro" rises vs. the USD.

Then, the insti's sell while YOU lose.

Hello?

No problem, it's free enterprise. Just create a large organization to steel your money.

Fraud?

No way. That term is reserved for ... ah ... well ... ah ... ??

Wednesday, November 30, 2011

Tutorial - EUR/USD - US Equities Rise exactly with Currency Ratio

Q: Why was the "market" way up today?

A: Because the US equity markets exactly track the EUR/USD on Forex as we have said every day. This has been a fact for about two years.

Q: Why was the EUR/USD so far up today?

A: Because the US FED (Federal Reserve Board) sharply reduced the valuation of the USD today; therefore, the RATIO EUR/USD rose sharply from the smaller "denominator" in the ratio.

Q: How was that accomplished - they say there was no money "printed"?

A: It was accomplished in a similar way (remember, nomenclature is important with the worldwide economy at stake) - the FED controls interest rates for banks, even foreign/European banks, holding USD (dollars) and the FED significantly and instantly lowered those rates.

Q: Why does that affect the USD value?

A: Directly because now you get paid a lot less from owning a US dollar so you are way more apt to sell it (devalue it in favor of the Euro.) Indirectly because it is a sign of more formal "money-printing" to come.

Q: Is that all good then?

A: No. The USD has been devalued again, the same thing that has been proven to NOT WORK for the US economy. The interest rate manipulation by the FED will not change any results, only cause a delay as we said in our 11/16 post.

Q: But should we buy-buy-buy equities now?

A: No. There may be a "funds-available" rise on Dec. 1; otherwise, see our prior recommended trade (11/16) and look for ways to capitalize on a new version.

Immediate Trading Opportunity - Huge Profits - EUR/USD

As we recommended on 11/16, both sides of the EUR and USD collapses have come to fruition within only two weeks and so prior to the Dec/Jan expiration periods.

While these currency events are sufficient for winning our trades, there are many events to come.

Congratulations. More opportunities will follow.

FED Trashes USD -- EUR/USD Sharply Rises

Equities markets follow suit.

FED artificially drops "overnight" rates for USD in EUR banks. Quickly raises EUR/USD on Forex.

Not an official "send US TAX $ to Europe" but it's really the same thing.

After all, the FED and US big banks are pretty tight. Instead of keeping your deposits safe and useful in the US, now they have to fight tooth and nail to extricate from the risky Euro-Zone where they shouldn't have been investing your money in the first place.

Uggg. You need to see our 11/16 post about "immediate trading opportunity" - if you are as fortunate as most of our clients, you have now succeeded (won) at BOTH trades instead of only one. This is how we prosper from the worldwide mess.

Monday, November 28, 2011

Consortium for Nationwide Banking Collapse for Nov. 2011 - CNBC

After hiding for two weeks (getting fat drinking too much vodka?) the new story has emerged! The market will go up now forever!

Do you know who stole your money today?! We do. So do you once you think about it.

Same old same old.

Upward motion is a hope for worldwide printing press activity. There is now a more robust hope for the same today from the "new" Europe "news"... in fact, there was a rumor of the second coming of Christ in Rome... and details are expected to be revealed this week(!)

For some reason, our favorite BAC nearly collapsed anyway. Probably soon...

How much currency can the world in fact print? There is no limit so long as it is carefully concealed... until...

Of course, quickly SHORTing currencies remains a good idea.

Saturday, November 26, 2011

DOW Quickly Down 700 and More from Here

It will happen this way:

One US morning, interest rates in the Euro-Zone will have crashed the "Euro" enough to create a small but significant sell off in order to "cover" the new underlying (junk sovereign bond) loss for some intermediate US "laundry-house" bank or shadow-bank.

Once that "bank" sharply sells off its risky Euro-Zone assets, some other similar banks will be forced to sell off sharply because they have invested in the initial "shadow-bank-to-fail."

Then, all US banks (except community banks) will sell off the assets they have on deposit with other institutions that have all invested in the shadow-bank program.

And then... everything has to sell off. Just as in 2008. Again.

The fall in US markets so far is independent of the debacle to come.

Tuesday, November 22, 2011

New US Bank Stress Tests - EUR/USD

Uggg.

The "new" Euro-Zone stress tests last summer proved there was absolutely NO problem in Europe. ... Ah, ... well, ... ah ..., well ...

Sell. Sell. Sell.

Everyone used to say... "mortgage your house and short-sell!" - ha ha ha ha ha.

Now, your house is worthless and the banks have no money to lend for mortgages anyway(!)

Sad state of affairs; however, we strongly recommend you pay strict attention to the "results" of the "big bank controlled" stress test.

Ha ha ha ha ha ha ha ha ha ha!!!!!!!!!!!!!!!!!!!!!!!!!!!!

And then... do the exact opposite from what the "data" says.

Big banks control people, NOT the other way around - as we know.

HIRE - but NOT in the US

Why is printing currency (USD) very bad for the 9% (really 18%+) unemployment rate in the US?

Because the USD is not only under imminent threat to be further devalued, it also has a 100% uncertainty in near-term relative value in any direction with regard to anything.

Suppose you owned a business that dealt with the planet Earth. Not just your home town in Lubbock TX, but the entire world... a little bit like Texas Instruments for example.

Which would be better for your business financially... hire a US employee and make a one-year commitment in the USD with all the overhead expenses... or... hire an employee in Asia, for example, and purchase a currency derivative (put, etc.) at the same time -- as a small insurance premium to define your risk?

Especially when you know that a currency move in the US would prompt a similar currency move where you made the hire and you would come out on top anyway? (Remember, your revenue normally does not originate in USD today, especially with 20% of US folks unemployed.)

You would not need to be in the business of rocket-science to quickly make that decision.

If US FED policy dictates that the US gets screwed, then probably the US will get screwed.

Uncle Ben with his "team" needs to go back to selling converted rice as in 1950 when a few of his ideas still had some relevance.

FOMC Minutes - What it means for YOU

It means the FED is confused. None of the FED policy has worked. No surprise, the policy comes from the year 1930 as we explained in many prior posts.

We do see an advance-warning that more USD will be printed once the FED has time to make up a phony name for the action, e.g. QE3 would not be "money printing for a third time" rather it would need to be an MBS "purchase" program "targeted-at" something or other. The words need to be crafted and are not made-up yet.

Long and short? As we have said, watch out for the printing presses! They will turn your money into monopoly money... we should all get monopoly boards for Christmas so we have something to use our USD for(!)

Monday, November 21, 2011

US Institutions - Sleeping now along with Volume?

Q: What? Take advantage of the insti's now while they are on vacation eating turkey?

A: Yes. Now, do it now.

Q: Oh, you cold-hearted... huh?

A: Get it done. They won't even know until later!

Q: Ah... hmmm... we don't like this. Who would like this plan?

A: GET IT DONE BEFORE THEY SCREW YOU! NOW! DO IT NOW! They are asleep!

Uncle Ben to Print more USD?

Let's see...

Developing trade conflict with China?

Huge national budget deficit not being helped by Congress which recently "punted = defaulted = we quit."

Moving in that same direction, there will be no significant motivation until the 2013 "auto-deadline." Everyone can easily understand politicians. There will be no action for now. Action is a politically unacceptable event.

Is there anything to prevent the FED from printing monopoly money while the Euro-Zone prints its monopoly money?

At the present time, NO there is no reason that Uncle Ben may not print the monopoly money... even though it makes no economical sense.

Politics is politics, blame is blame.

Everyone knows it's way more important to destroy the world with someone else to "blame" than it is to save the world without "credit." Every politician and every lawyer knows that, so watch out for the currency-deflation downside risk as we have already instructed for now.

Consortium for Nationwide Banking Callapse

Lets hope the "CNBC" does not succeed in taking YOUR money.

Do you know who stole your money today?!

We do. So do you.

YOU can turn this around 180 degrees with ease and a little work.

If YOU don't do it and do it now, then maybe no one will ever get it done.

EUR/USD Technicals

We are on a Manhatten River-Island bus and we can pull the string when we want to get off. These are the next possible stops:

1.3365 Street

1.3120 Street

and then... Worldwide Financial Collapse Avenue

JEF and EUR/USD - Spanish Debt and Italian Debt to Collapse Euro-Zone

Yes. Today was the third (or so) confirmation from TV that JEF is going down. The three confirmations:

1. Vague .ppt slide about long and short positions being equal (not a good strategy by the way... the strategy we mean... the slide was OK.)
2. TV support-rhetoric about JEF that triggered our knowledge of the issue per the prior week's post.
3. New additional TV support today defending JEF.

Three advertisements (3 is a Fibonacci number) means JEF is "out" to use a baseball analogy.

Advertising = air-time is usually not "free of charge" and whoever goes to the extent to pay for it "usually, in general, on the average" has a reason for the large payment. In this case, the reason could be...?

There was an old Shakespeare play about... ah... protesting too much and thereby providing a thinking clue? We forget the Middle English, but the idea is the same.

Please see a last-week's post to learn more about confirmations available from TV for free (free for YOU.)

Oops - Exact 11am EDT EUR/USD move (not 11am PDT!)

Off by three hours. We messed up our Euro time zones. We are more used to Asia. Anyway, please see our last post and please see the exact 11am action with regard to the Euro/USD. The daily by 30 min. chart is a good one to use.

Everyone knows the Euro-Zone rule... if you get to work late, then you have to leave early. You can work out the time zones for yourselves, you are probably a lot better than we are with time zones(!)

Sunday, November 20, 2011

Euro Action - Spain - and ... - EUR/USD Today

There will be no action until about 2pm EDT or later Monday in the US.

Why? Because Europeans do not rise early but do stay up late. That's the root cause of Europe having this "default" problem in the first place. Enough said.

US insti's are not aware of European life, especially S. Euro-Zone life-style and work ethic? Then why did the insti's put your money at risk there?

Saturday, November 19, 2011

NARSE = Narrow Alley Relevant Statistical Event

A NARSE is defined by the "tightness" of the channel similar to an atmosphere re-entry equation. The relevance is mathematically traced back to the year 1948. NARSE's are used in trading analysis because of the importance of statistical relevancy.

SPY Statistics and EUR/USD

Yes, we have checked.

Do not bother with SPY math.

EUR/USD on Forex with "pipe-stats" precedes everything. Same as we said before, but we checked again. Still correct.

You can even use your 10 year old PC (with a good internet connection) and beat the insti's with what we have shown you.

Friday, November 18, 2011

Taxable Clients - US IRS

Most of our clients have not been short-sighted enough to live in the US full time.

Other clients? Having to pay US taxes to help banks and bank-related crooks but no one else?

Most of them don't like it. They are thinking about moving.

They think the US should just exist as banks... just by themselves... banks and poor people to get screwed.

They say... bye.

NEW TAX ERA

Three choices:

1. Let all drug dealers "deal" in the US while TAXING the activity.
2. TAX the bank crooks who have created rating angencies to screw everyone except the banking-corporate-citizens.
3. Or - just GO BROKE - we DO NOT CARE. We can make money in this environment better than in most environments.

TAX where TAX is DUE - BOSTON TEA PARTY

Rating agencies... messing up the country and the planet.

Only a simpleton like a US banker would not recognize that fact.

TAX THEM!!!!!

Otherwise, there may be no other income tax achieved. Ever again from those who understand the scam.

Capitalists in the Strongest Sense

So...

There are folks who invade privacy for a living through the internet, databases about YOU, etc. - no problem, WHY ISN'T THERE AN INVADING PRIVACY TAX??!!!!!!! We don't want to outlaw it, just TAX it.

We don't care if some idiot rating agency declares we owe a $39 fee to Chase Bank, just TAX them for the right to declare it over the internet.

What's wrong with that?

SOMEONE(S) has to pay the way out of this mess. Who else??

What is any other SOLUTION out of this idiot mess?!

National Debt - Credit Report Scam Artists - US Criminal Activity - Where is the FBI?!

Tax payers PAY for the FBI, not lobbyists.

If there is no citizen respect and action from the FBI, then we strongly suggest NOT TO PAY ANY FEDERAL TAXES; otherwise, you/we are simply getting screwed/ripped-off.

We dare any credit "agency" to get real, i.e. take a credit report, find out the score, and then use the bottom-to-top score ratio to compare it to the "gross funds repaid divided by gross funds unpaid" per COMMON SENSE RULES instead of whatever rules the BANKS WROTE FOR YOU!

Answer?

No one will take on that challenge because the results are so RIDICULOUS and 100% prove the criminal activity of banks/ratings.

How can the US government condone common criminals? We don't get it and we most definitely want to see a "criminal" tax that only the criminals need to pay.

If it's too expensive to arrest and incarcerate them, then TAX them instead! Simple as apple pie.

Bank Loans - Adjustable Today

Most of our clients contractually agreed to adjustable loans starting in the year 1991.

Now? Well, the interest rates are about $0 per any amount of time. The loan interest rate is basically the "margin" rate of 2% or so for 30 years.

Are the banks happy with that? Of course not. The banks have tried many tricks to get out of their contractual obligations but by-and-large the banks can be defeated in court and have lost - per their agreed contracts.

Our clients already know how to diffuse the tricks. A contract is a contract. Bankers are crooks, but a contract is a contract. Unless the banks have a way to pay off... well,... you know...

Occupy Wall Street - Credit Report Scam

So we have done a short local survey. Here are the issues we found:

1. Parking ticket from the City of San Diego sent to the wrong address. Even though the ticket was paid in full, there is a $25 fee with 7% interest and there is a DING on the credit report that cannot be removed no matter what.

2. A local dentist was not paid a $40 extra fee (from a $10,000.00 "invioice") and did not even send a bill. The credit card agencies have been contacted by the dentist's "office" with terrible results for the consumer, and there is no way to "prove the negative = no bill was sent."

3. El Camino(?) Hospital has a $100 extra fee that the health insurance co. never paid from a $40,000.00 bill... credit report devasted for the $100 El Camino mistake. Not for the health insurance co., but for... well, you get it.

Wow!

No wonder banks do not need to lend in the US... because everyone in the US is a derelict! (Including some of our highest paid employees.)

But the Euro-Zone... no problem, the Euro-Zone has the most productive folks on the planet! That's exactly why BAC and Chase have sent YOUR life savings to the Euro-Zone... because there is less risk there... or... ah... huh?

We hope you have withdrawn all the USD you once deposited with any US institution (insti) so your own $ cannot be used against you.

Thursday, November 17, 2011

Italy Debt and the ECB

The ECB said recently that it has no POR to rescue Italy.

Why?

Because the ECB does not have a spare few TRILLION Euros sitting around with which to help anyone! That's why. Neither does anyone else on the planet Earth.

Burn burn burn... the ring of fire. Down down down... the flames are getting higher... bur... well, you get it, you are bright folks.

Friday Market Action 11/18

1. Expect a down day since no one wants to go into an effective week-off with a lot of risk sitting on the poker table... would you?

2. Of course, a witnessed 2nd coming of Christ in Rome could change everything, but we would need to scrutinize the details of the sighting.

3. Take opportunity on Friday while the "professional" folks, especially the IT-support folks, begin an early weekend.

NBA Finally!

An NBA game, attendance-wise anyway, took place on the river-island today!

The same number of folks in the streets complaining about the "simple" crooks on the river-island losing everyone's money.

Oh well. The NBA is a poorly-attended sport anyway... no big deal.

Everybody with half a brain knows the city and police, etc. don't spend any time on a silly event the size of an NBA game... or, ah... huh?

Huge Profits from EUR/USD

Just see yesterday's post.

Some folks have already exited that trade, why be greedy... take the profit.

We recommend taking advantage now in order to add to the same trade.

Jeffries (JEF) Collapse - Short Sell

We did not suspect JEF was close to failing; however, TV today has confirmed (while trying to anti-confirm) that JEF is truly in severe circumstances.

Always accept confirmations when they are as clear as this one.

Every slight interest-rate increase in the risky Euro-Zone nations translates into a larger loss in value of the underlying, i.e. junk bonds.

There are only two things JEF can do... lie about it (as in the previous short/long position TV-supported story - ha ha ha!) - or - go bankrupt.

Uggg. We did not understand until today. Short sell and allow 30 days or so.

AND... the obvious... Q: Since JEF has gone on record on TV to say it cannot lose any money in the Euro-Zone, then why is there any concern? A: Apparently because that was a ... well a... ah... kind of a ...ah... a lie.

Corp. Earnings not Bad this Time...?

US Corp. earnings are earnings in terms of US Dollars = USD = US $.

The USD has been severely deflated (devalued) on purpose by the FED with a little help from...

Please recalculate earnings to include (reverse-out) the decline in value of the USD.

You will find the corp. earnings are in fact world-class... i.e. world-class-xxxxty.

M-F- Global Financial Collapse... Again

Q: Why has it been so difficult to obtain, or even track, the money that "MFGlobal" defaulted upon?

A: Because it was funneled through so many other laundromats and middle-men that it's nearly impossible to find(!)

Q: Who's next besides B of A?

A: Another middle-man for B of A. B of A comes soon, but later.

Q: And Chase?

A: JP Morgan falls hard, unless Uncle Ben helps them, but not until after BAC.

Occupy Wall Street - Help for the River-Island

Congratulations to the occupants who put up with "Nixon era dirty tricks" today. We salute the calm organization of your movement.

Wall Street will shortly collapse by itself from its own unenlightened and frankly "simple" view of the world. Everyone appreciates the occupants helping to shed light on an otherwise unenlightened profession.

We stand with you.

We stand against the big bankers that have used your money and lost it in Europe like a bunch of simpletons.

Wednesday, November 16, 2011

EUR/USD Current Fibonaccis

There aren't too many levels yet to fall through... if any.

Maybe we fall directly to our channel bottom. So far, it looks that way.

Uggg (for the Euro we mean.) Very good for "us" so far.

Maintain the math and act accordingly. If it doesn't happen now, it will happen soon... (...er or later!)

Congratulations for beating the insti's. Pretty easy after all!

Fitch CYA on US Banks - TV Today - Rating Agency Exposure Again

TV says... "oh, dah, what a surprise... everyone knows banks are succeptible to the Euro/WW economy."

Huh??

The facts:

1. Banks are only immediately succeptible to the Euro/USD currency ratio because the big banks have risked your money and way too many USD in the Euro-Zone criminally while trying to get a higher and more greedy return-rate following the bank-caused 2008 US debacle that required tax-payer bailout.

2. TV and the institutions (insti's) that pay TV have been actively trying to hide the relation with the EUR/USD for months and years.

3. Now the relations are coming to light. Just ahead of the soon-to-come 2nd M...F... GLOBAL-FINANCIAL-COLLAPSE... again!

Letter to Clients - Huge PROFITS - Revealing this has NO Effect regarding Events

Strong Immediate Trading Opportunity


FINANCIALS (Financial Strategy)


The EUR/USD (Euro vs. the US $) will collapse. The entire Euro-Zone (17 nations) will collapse and rebuild itself nation-by-nation with Germany the first of two-to-three winners. Everybody else, and the Euro, loses. EUR/USD is traded on Forex (the worldwide currency exchange market-place.)

Because the US banks and other institutions have placed nearly all their capital into the Euro-Zone (following the 2008 US institutional collapse,) the EUR and USD (EUR/USD ratio traded on Forex) are also tied to anything that trades in USD, e.g. US Equities like NASDAQ, DJI, SP500, etc., OIL, most commodities, and also GOLD in USD.

Because the USD will rise significantly, all USD-traded entities will fall by closely the same %. The strategy is to act on these facts.

There is only one way to get around these events, i.e. the US FED would need to “print” USD to compensate for the Euro collapse so that the EUR/USD ratio remained manageable; however, that would cause worldwide currency DEFLATION (and of course worldwide price INFLATION.) It would cause the price of GOLD (as an alternative “commodity” to worldwide currencies) to sharply rise in USD value.


TRADING (Trading Tactics)


Immediately, make low-risk/high-reward trades (exactly as taught using derivatives like futures, calls and puts on US-traded equities, e.g. GLD = an ETF (exchange traded fund) for gold mining companies that tracks the price of GOLD, or even more directly GOLD futures… any of the above.

Make a minimum 3:1 trade (5+:1 is better) that GOLD will rise at the same time you make a similar reward/risk trade that US Equities, e.g. SPY (the Standard and Poors index fund) will fall.

You may succeed in both trades, you cannot fail in both trades, and most likely you will succeed at one trade and fail at the other. You don’t care, because your reward/risk is greater than 3:1 at a minimum for each trade. In other words, you cannot lose or even break even, you can only win.

In this way, we take advantage of worldwide financial events to make significant money at an extremely low risk.


TIMING (Trade Execution)


Start immediately prior to any catastrophic event. Fitch has warned of de-rating the credit worthiness of US Banks as of today. The massive slide is already in progress similar to 2008. The EUR/USD is falling in a technical pipe quickly even at the present time.

Trade expiration date must allow enough time for the events to unfold in the minds of traders and especially institutional traders. The more time you buy, the more certain the success; however, the reward/risk ratio and profit will be reduced as well.

The third Friday in Dec. (quadruple quarterly expiration) is a fair choice. Jan2012 expiration is also OK. Anything longer is unnecessary and too expensive.


RISK (Near Term Risk prior to Expiration)


News events from institutions and whole nations trying to prolong the disaster as far as possible are now clearly losing that battle.

Expect a counter-attack on the news front with a possible method to legitimately bolster the Euro without currency manipulation by the ECB (European Central Bank – the Euro version of the FED.)

There is NO chance of this happening, but the risk is that some institution with enough power can force a delay beyond your expiration date.

Dec/Jan should be acceptable expirations in this regard given the more rapid decline of the Euro and the fact that any near term US FED response can officially happen only at the early Dec. 2011 FOMC Meeting.

Monday, November 14, 2011

Learned from TV Today - EUR/USD - US Equities

Key people either pulled off the air or simply drunk again. Probably the former this time.

Yes, there will be excuses.

But, if you ran a TV show would you want your people to air face-time during a second MFGFC? (MF Global Financial Collapse?)

We would pull them off the air so they didn't apprear to be, ah,... well, ah,...,ah... kind of responsible for the collapse.

As always, use confirmations when you get them.

Here's a good example of confirmation:

The CEO of company XYZ is advertised to be on TV immediately following market close. Company XYZ is announcing earnings after the bell.

Would you go on TV to say "sorry, I'm a loser?" Uh uh. You would go on TV to say "we beat our earnings estimates in a good fashion!"

Just take that as a confirmation ahead of time that you already know the earnings results. Just like that guy in jail now... "ahead of time."

"Ahead of time" is the key. And, for YOU, it's NOT illegal as it is for XYZ and TV.

Technicals - EUR/USD Today

Q: What does it mean when our intervals spread out?

A: It means there are not enough people trading.

Q: But Forex volumes are always large, how could that be?

A: Volumes can be large with only a few people/firms controlling trades, same thing. Don't forget how we manage the stats.

Q: Does that mean anything for trading?

A: Basically, it means the markets are being unusually manipulated at that point in time.

Q: Then we should do?

A: Same as always. See our below post(s). No changes to policy.

Sunday, November 13, 2011

Hong Kong Banks and Instis - Be Careful!

Yes, we know the EUR/USD funnel just gave through to the downside as we already said it would. Surprise, surprise.

Another comment about Hong Kong...

We have been there alot and continually. Banks, also... banks,... also people who keep the banks kind of going,... and then also banks... Kowloon banks, Hong Kong Island banks, and also... financial institutions, and... well, you get it.

(The harbor and hotels are a funnel directly to the banks for anyone who pays attention.)

Anyway, we wonder what the Hong Kong banks have put at risk in Europe... and we wonder exactly whos (whoms?) money is at risk in the Euro-Zone from Hong Kong banks.

Do you folks wonder? We do.

EUR/USD Asia Trade

How proactive of Hong Kong today! Just do nothing since there is no clue what the Western world will do. In other words, just politically "copy" the brighter folks elsewhere?

We love China and also Hong Kong, but we have noticed a distinct Western (English) political influence on Hong Kong, i.e. be political first and be productive, if necessary, much later.

We think Hong Kong needs to get rid of the Western (European) tendancy toward politics ahead of productivity. Just be closer to true China principles.

Stat Breakout Soon? EUR/USD - "Quick" Study

If so, it will be to the lower, dropping, lower-than 20 period, direction.

But what about the Math for Technicals?

To address long questions with short answers:

Same as before.

Everything follows EUR/USD.

Get the integrals and derivatives as we have shown.

In that way, we trade ahead of time.

No. In this case, there is no transformation of variables required.

X = EUR/USD

Fisherian only please. In that way, we succeed.

We do not beat the supercomputer; instead, we beat the programmer.

EUR/USD Trade Today - Europe Actions

We do not know what the Euro-Zone actions were over the weekend. We will find out in the 60 minutes prior to the US markets opening tomorrow (Monday.)

Of course, we have a pretty good hint from the most-Eastern-Asia starting price action recently.

Here's our guess: There was nothing significant over the weekend because the new-day EUR/USD action was up on low volume (typical... since the US action at COB Friday was up) and then the ratio immediately dropped into the standard 20 vs. 50 day envelope.

One of these days, we want to be wrong about a prediction so that life becomes more interesting...

Watch out for EU weird-news Monday in Europe(!)

Saturday, November 12, 2011

Index Funds - 2008 and 2011

Index funds are great in that they almost always beat the index they intend to beat.

For example, an index fund designed to beat the SP500 will most likely only have a 48% loss while the index itself has a 50% loss.

Super deal and well worth the expense.

401K and IRA at Work

Please see our preceding post about US insti collapse.

Do not forget your US 401K and IRA funds are in fact in the hands of insti's unless you have taken care to handle the funds 100% independently.

In case you had 401K or IRA money with any insti in 2008, you have probably experienced what happens to your money in the hands of insti's.

Best wishes.

US Bank Collapse - EUR/USD

The US financial institutions (insti’s) are the same as always.

The head folks want to simply “take the money and run.”

The first grand collapse was in the US housing market when the banks would/should have failed in 2008.

Following that grand collapse, the insti’t had to vacate the US for the lack of opportunity and send their USD to Europe where earnings were higher for the US insti’s.

(Of course, that meant the banks had to play the “credit-score game” and refuse to lend any USD in the USA; therefore, housing prices are very low since a home purchase is a leveraged event – you would need to buy a home in the Euro Zone to get a loan.)

Oops. Another mistake and severe high-risk situation for YOU, not for the INST’S because they are using your money and skimming from the top.

When the unproductive Euro situation resolves itself in another US credit/bank collapse, just make sure you have no funds with any US insti… simple; otherwise, YOU take the default losses (not the US bank/insti) just like the MFB (MF Bank Collapse) situation of bankruptcy. Guess what, the head folks got MF paid but NOT YOU.

FED 1930 Policy in 2011

Q: Why has the FED been ineffective in helping the US economy following the credit/bank debacle in 2008?

A: Because the FED is made up of kind-of-old fellows who take their main education from the agricultural society in the US 1930's, a full decade prior to WWII.

Q: Why is 1930 different in basics from today in 2011?

A: Because in 1930, the US didn't depend on middle-east oil, on factories in Asia, or on the European marketplace. Also, there were no supercomputers, satellites, internet (or even cell phones) in 1930 to keep the WW marketplace 100% consolidated real-time as it is today.

Q: You mean the axioms are completely different and the FED doesn't understand?

A: Most definitely yes.
_________________________________

Economics is overwhelmingly a SOCIAL STUDY. It's about behavior. The FED has no clue.

As always, ignore all rhetoric and focus only on results. "No results" = "no clue."

Think about it yourself. The US FED has a number of geographical "regions" within the US. Huh? That made sense when you needed to travel from one region to the other by covered wagon. Today? Hello? No clue.

2012 Economic Strategy from Ben Bernanke

In Silicon Valley, we like to think in terms of problem solving and also in terms of basic user-language programs.

We have learned from 2011, and now understand the 2012 strategy as follows.
__________________________________________

Step 1: Define the problem, i.e. the US economy is not robust.

Step 2: Assume you must deflate (lower the value of) the US dollar (= price inflation) to have a robust economy, jobs, houses, etc.

(This has been a FED assumption for many years learned from a 1930 lesson that is now obsolete. Kind of like traveling by covered wagon over Donner Summit and exactly like trying to pull yourself up by your own boot straps.)

Step 3: From Step 2, Decrease the value of the US $. (Effectively print more USD as in “quantitative easing” or anything else you want to call it.)

Step 4: By definition, Step 3 increases the value of oil (and all prices) in USD.

Step 5: Measure the continued worsened economic decline due to the increased day-to-day price of oil, gasoline, transportation, fast food, rent, etc. from Step 4.

Step 6: Report that economic performance continues to be poor. No jobs, no loans, nothing except price inflation from Step 5.

Step 7: In that case Go To Step 1.

Brilliant!

Friday, November 11, 2011

Make Money Fast - Buy US Equities Now

Exactly! Just do what the paid advertisers on TV-"shows" suggest!

Ahh ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha!

Our clients in fact use TV prompts and "invert" them as an additional confirmation of how to trade.

Ahh ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha!!

We love TV.

Technicals - EUR/USD on Friday and Weekend

The ratio tore through every Fibonacci measure available since Ancient times.

But, the ratio completely bounced-off and fell below our top trend line as our technical traders have pointed out.

The ratio remains in the pipe.

We expect the ratio to remain in the pipe.

Of course, the 2nd coming of Christ may be evidenced this weekend... but if the ratio moves slightly out of the obvious pipe, it will enter a steeper downward pipe very soon.

That is how we make money at the present time.

Great Low Volume Day for US Indices - EUR/USD!

As we said in a prior post, the powers that have stupidly put money at risk in the Euro-Zone cannot afford to let the markets crash looking into a weekend of risk; therefore, the 2nd coming of Christ has been witnessed in Rome... but, there are no other details now, the details will need to follow at some future point in time.

What if Italy completely passes the "screw Italian citizens bill?" Well, then there will be a violent revolt.

What if the bill doesn't pass? Well, then the EU and ECB will be forced to reveal details of the 2nd coming of Christ which are already on the printing presses... along with the printing-press Euro monopoly money.

Wednesday, November 9, 2011

Technicals - EUR/USD What Now?

The ratio quickly bounced off the top of our channel and is now dead center middle in the pipe. But, the pipe is a fast downward pipe.

We think the present pipe is 5x5 but will be difficult to sustain because of its slope.

We don't know(!) A slight tendancy has appeared for an upward motion within the pipe. Be careful. We are not placing orders we do not intend to watch continuously for now.

GAAP vs. NON-GAAP Earnings? Tutorial - Cisco! CNBC

Q: What is GAAP?

A: GAAP = Generally Accepted Accounting Principles

Q: What is Non-GAAP?

A: Non-GAAP is a confusing euphamism for "unacceptable/illegal accounting principles."

Q: Why is Non-GAAP reported?

A: Normally, when a corp. has lost lots of money (mostly due to the cost of paying employees through the company's own common stock) - then the corp. needs to "understate" its true cost situation so people think the corp. is "better" than it really is.

Q: Is the diluted-stock action illegal?

A: No. Stock is a form of compensation. When you pay your people relatively little in terms of US$, you need to compensate them with stock privileges.

Q: Does that make a difference in earnings for the corporation?

A: YES - Non-GAAP means you are not reporting your true expenses; therefore, your perceived earnings are much higher than they really are.

Q: Do people get confused and buy stock when they shouldn't in that case?

A: Definitely. TV networks even work with the corps to fool investors. Yes, it should be illegal, but it's not(!) ha ha...! Be advised!!

China Trade for EUR/"RMB" - Forex for Asia

Many wealthy Chinese folks will wake up in a few hours and wonder why their net worth has suddenly dropped significantly again. (Obviously, our clients are not part of that particular net-worth-dropping subset.)

As with anyone, most folks will be thinking about when enough is "enough" and maybe just sell out asap before the loss of even more RMB that have been invested in the failing Euro-Zone.

We can now start to apply the Fibonacci sequence/ratios to the grand worldwide sell-out vs. retracement for the Euro-Zone. Lots of money to be made from the Europeans if you know how to do it.

PS - "RMB" and USD - Since any and all money you have placed into a bank, a mutual fund, a 401K, an IRA, any hedge fund, a money market account, provided to any person or financial entity, etc. is 100% at-risk in this trade without your knowledge, you may want to monitor the Euro-Zone collapse with heightened attention.

Tuesday, November 8, 2011

Jackie the Clown of Diamonds

Awarded, by Goldman Sachs, the spoils. Did with them? Nothing.

At a minimum, the clown throws a bone at the dogs.

This time? No.

In mid-evil (medieval?) times, the penalty would be...

Opportunity in Forex - EUR/USD

The opportunity of a lifetime... BUY US equities and BUY EUR/USD and BUY all USD-traded commodities. Just BUY BUY BUY NOW.

Why? Because:

1. The US and worldwide economies are performing stupendously well...
2. The Europe situation is all a joke anyway and completely unreal...
3. The EUR/USD ratio will soon be infinite.

Anybody can figure that out...

(Disclosure: Our clients may do the opposite soon.)

6% - Occupy Wall Street

What is the interest rate on an unsecured loan for 10 years from one of the big banks like Chase, BAC, Wells Fargo, etc.? Just call them.

Well, it turns out that the entire country of Italy cannot afford a 6% interest rate for the exact same thing without self-destructing.

We hope we do not find out that US banks have been lending your money to... without providing... well, you are smart folks. You get it.

EUR/USD Institution Selling Points? Getting back into the USD.

Some insti's have wisely purchased puts, but not all insti's have been wise.

Looks like 1.45 at the present time. Kind of greedy. We hope the worldwide economy does not crash because of a few greedy decimals for the big insti's.

That would clearly be unforgivable.

OIL Price in USD

Oil trades in USD.

Funny thing, the USD was kind of down today. Guess what? Oil was up!

What a... ah... a surprise!

That's OK since everyone knows high gas prices are great for any economy.

Good news...

True Italy Effects - EUR/USD - Italy Prime Minister

Once a head-of-state in the Euro Zone sides with instructions from the EU and ECB, then that person is politically dead and may as well resign no matter what.

It's kind of like "falling on your sword."

Good news though, now Italy is on the right track. Right?

Ah...

So the voting folks there are so upset that the head-of-state is now politically dead.

What was the root-cause in the first place? Unproductivity of the work force... ?

Now that the work force is 100% demotivated, common sense tells us the work force in Italy will immediately be productive - after all, standard politics says that once you have someone to blame, then all your problems go away - correct?

Or... ah...

Good thinking! The Euro will go up now and never come down - ha ha ha ha ha ha ha ha ha ha ha ha!!!!!!!!!

Monday, November 7, 2011

Occupy Wall Street - and for You?

All the entries below culminate in a few things for most folks and the big banks make everything worse.

Printing USD will mean the cost of a hamburger or taco rises by the same ratio... twice as much? A $10 hamburger?

Your income will not rise because wage deflation is fully in force so your effective income would be less than half.

If you are wealthy, you can get a calculator and divide your wealth by the factor 2 or more.

Gasoline and other US dollar traded commodities? Get a bus token.

Good news? Maybe you owe zero taxes. There goes the Navy... no $.

Worldwide currency deflation is not funny in this situation.

This is not a political issue; instead, we need to dispel this issue before the politicians kill all of us through ignorance.

US TAX Dollars for Europe?

Please read our blog entries.

Anyone who advocates US TAX Dollars to help Europe when we have plenty of problems here by ourselves? Anyone who supports US TAX for the Euro needs to be fired immediately and everyone in their political party needs to be fired and never re-elected.

Those advocators can go to the EU and run for office there.

Simple.

Printing USD? SAME THING = TAX DOLLARS for Europe. No way.

CNBC News - Europe

Well, Europe is faultering and the US companies that depend on the Euro-Zone economy are therefore faultering.

Hahahahahahahahahahahahahahahahhahahahahhahahahahahahah!!!!!!!!!!!!!!!!!!
____________

UH UH

Europe is faultering because of unproductivity and the US institutions have already (stupidly) invested there. No one asked our banks to invest in Europe, the idiots decided for themselves.

Banks, semiconductors, tech, energy, even US real estate, name it...! all trade on the same EUR/USD algorithm because, if they didn't, the insti's could lose their Euro investments.

If the super-computer algorithms were not "quanting" US Equities as just another Forex trade and thereby manipulating ALL markets, then there would not be any problem.

We fully agree, where is the SEC relative to CNBC and the big institutions?

US Equities Dominated by Forex - EUR/USD

Why is the EUR/USD forex trade excactly the same trade as US equities?

Because the US has not been a good big-money investment since 2008 when the banks caused the housing collapse.

Once you send the USD($) out of the country in order to profit, then you need to also get the $ back in to the country since the collective 'funds' take in USD and also need to pay-out in USD.

Japan? uh uh. The government and the BOJ are well known currency manipulators.

China? No way. A few old guys there own and practice the most proliferating and the absolute best art of currency manipulation.
In other words, the inst's would never get their USD($) back/repatriated.

So the Euro is the key to success... or... ah... maybe... maybe the whole idea doesn't work out because of the OBVIOUS lack of productivity there?

No big deal, it's your money not the insti's money.

US Bank Fees - Occupy Wall Street Tutorial

Q: Why did US big banks start charging extra and unusual ATM and other card transaction fees so suddenly and recently?

A: Because the big banks are under severe pressure for "earnings" since their European assets are continually written down as risky failing investments with your money. These banks are publically-traded corporations and are under pressure as such.

Q: Earnings?

A: Yes, earnings = basic revenue (income) minus (subtracted) basic cost/expense (e.g. a typical expense is the interest or lack thereof the banks pay you for depositing your money with them.)

Q: Why do the big banks need to invest in the Euro-Zone and take on all the extra risk with our money?

A: Because the housing collapse (bank-caused) in 2008 and the flattened "yield-curve" in response to the collapsed US economy has made it too difficult for the big banks to invest in the US.

Q: And where do they invest then?

A: Greece, Italy, and Spain for the most part.

Q: Directly?

A: Of course not(!) Please read the blog. There are several and many "middle-men" so that the regulators cannot find out. Until...

Price of Gold in USD (GLD)

Up significantly today.

There seems to be an anxiety about currency stability. There is no other reason for GLD to jump so fast.

Uccupy Wall Street Smarts - Chase and BAC

At a recent (Sept./Oct.) FED press conference, CHASE Bank called out Ben Bernanke complaining about the FED policies.

With all due respect, do you believe what CNBC tells you?

The banks and the FED are as close as a pig in xxxx.

Don't get fooled again. Frankly, if you (we) get fooled for the 2nd time, then shame on us.

When will the USD be "Printed" like Monopoly Money? EUR/USD

The first hurdle has been hurdled, Barack Obama said "NO" to the EU during the recent G20 conference. Make no mistake, "no" = NO more printing presses for now in the US for free EU aid. (In other words, Ben Bernanke has now been temporarily controlled by the US Administration.)

Other hurdles to the printing presses? Frankly, the election year should help as a hurdle because normally Republicans don't like price inflation = currency deflation. We hope this will be another hurdle the printing presses cannot overcome. (Until the big bank lobby gets started.)

If the world is fortunate, there should be no more printing press currency deflation in the US until well after the 2012 election.

If the world is unfortunate, well, ... a ...hggmmm... ah ... well, then ALL worldwide currencies will be worthless due to the cataylst of unproductivity (starting in the Euro-Zone) and spot GOLD will be worth $5000 - 10,000(US) per once by EOQ 1Q-2Q calandar 2012.

Occupy Wall Street Please - EUR/USD Tutorial

Q: After only bad news from the EU, why has the EUR/USD only dropped a little?

A: Because EUR/USD is a currency 'ratio' - it is a ratio with the USD as the denominator just as in basic arithmetic. If the USD goes down, the ratio value goes up.

Q: USD going DOWN in valuation?

A: Ben Bernanke indicated a likelihood of US dollar "printing" if the EU situation doesn't improve. That would mean large scale USD deflation and the EUR/USD ratio would remain kind-of-close to "not dropping severely" since the USD denominator would then drop rapidly to keep the fraction mostly intact relative with the worthless Euro.

Q: Why would anyone bother for all that?

A: The US big banks, Chase, BAC, and many other "institutions = insti's" have transformed many USD into EUR (Euros) in order to get higher rates-of-return (similar to interest rates) than the US insti's can get in the US at the present time. (Read the blog, it is already a clear fact.)

Q: I still don't get it?

A: If the insti's lose everyone's (your) money once again (from a risky failed currency exchange) after already causing a similar credit collapse in 2008, they will cause a 2nd WWFC = world wide financial collapse and will probably not be forgiven anytime soon.

Q: Why can't the US FED let the EU deal with itself?

A: Because there are so many USD $$$ in the EU from the large institutions - it's been called "too big to fail" for the second time. Ick.

Friday, November 4, 2011

EU and Greek Debt - Why is there an Important Vote at Midnight?

A: Because the folks are around and thinking at that time. They only sleep during working hours! (ha ha - we're sorry for this EU joke.)

US Equities Today - NASDAQ DOW SP and Equity Futures

Volume was so slight that, first approximation, no institutions were trading today. (Not trading equities on an expected down-day anyway.)

Why would that be with an upcoming huge Greek vote after the market closes? After all, EUR/USD = US Equity.

Combination of reasons:

1. The vote is already predicted with a large degree of certainty for some reason(s) and/or...
2. Any problems can be addressed in the 24 hour Forex market with direct EUR/USD purchase/sale or with futures to handle things until Monday.

Forex trades? Yes, the volume of anything can disappear in the standard Forex volume and become untraceable. But don't forget to look at the put/call volumes for EUR/USD for now.

Also, the EUR/USD has made relatively zero movement and that movement is a requirement for the algorithms to run; therefore, small volume today.

We may Vote for Obama again afterall - IMF and ECB! G20

So he told the EU to get stuffed. Thank you, Mr. President. It's about time someone kept US $ in the US.

Fund Collapse - BAC 6% Debacle Today?

We saw a narrowly distributed report that another Wall Street fund has an appx. $2B long and also a $2B short in the same position.

Well... in that case, do not do business with that firm since, well, you know, after all... X-X=0 always and all the time.

We wonder about the true... ah... well... you folks get it.

But any firm already in the news is NOT the next firm to collapse; otherwise, it wouldn't be in the... you know.

This is a great hint about soon-to-be facts.

Thursday, November 3, 2011

Technicals - EUR/USD

Yes, we understand.

Follow the pipe with all the tools until the end of the Asian 'well, you know' then follow the stat rules when Euro wakes up. Simple.

Tutorial - EUR/USD - FED vs. ECB

Q: Why would the EUR go up while the ECB has just cut interest rates?

A: Because the more overwhelming Forex event is the cancellation of the dissolution of the entire Euro-Zone, i.e. the cancellation of a popular/democratic vote about the Greek situation. Huge cancellation! (for now.) In other words, the people of Greece have no say at the present time.


Q: Why did US Equities rise today?

A: As usual, because the EUR/USD rose today and the supercoms maintain the arbitrage so that the difference between EUR/USD and US Equities is zero (within about 200 ppm or so. That is quite close to zero.) Also, the FED has communicated it will print US$ (printing press) easily and quickly if needed. (A stock traded in US dollars is worth 2x as much if there are 2x more dollars floating around after they have been printed from the FED printing press. Easy... not good, but easy.)

Q: Well in that case, what about the price of a fast-food hamburger?

A: 2x more, sorry. Math works. Sometimes it works against you. We hope your "salary" increases by 2x - ha ha.


Q: What will happen to EUR/USD ratio with all the political events?

A: Unfortunately, it depends on the success of the media on populations. If the EU can keep the Greek citizens deprived of a popular vote (anarchy) then the EUR/USD will go up for now based on that present-circumstance. If there is a popoluar vote, Greece will erase/default on any and all debt and simply say "goodbye" to the creditor banks, etc.

Q: Would someone start a war in the Euro Zone with all this?

A: Not today. That is currently impossible. Instead, all currencies would have less value than today. Simple as that. Printing presses would print money globally.

Q: Is that bad?

A: Only for wealthy folks, poor folks, and everyone in between. Everyone else would be OK... ... ... (?)

Divergence EUR/USD - Technical Traders

There is a slight divergence here. Interest rates down for EUR, lots of turmoil, and so on...

Yes, you folks have made lots of money in the pipe 5x5 for more than one day.

You are still in the down-draft, do not sell out/buy out unless our 2 sigma rule sets have been breached.

Congratulations.

Overnight Forex Trade - GLD is a currency exchange Vehicle...

The EUR/USD is glued to the 50 and 20 day SMA convergence - no surprise here.

Overnight?

No one will have the fortitude to move the ratio from its present state between the 20 and 50 quarter-hour-period SMA's. Until... well, you know.

Same old same old. The supercoms keep arbitrage low. Ho Humm. Yawn.

Have you checked on the price of gold as we recommended?

EUR/USD News from the EU on Friday - US Equity Direction Prior to Weekend

The first rule for the Euro-Zone is: DO NOT ALLOW the Euro/US$ to crash on a Friday looking into a 2+ day additional risk-on period for US markets.

Since that EUR/USD ratio will automatically crash, there MUST be something on Thur. or Fri. to help it to "non-crash" just one more time.

Possibilities?

1. The Greek PM has been effectively expunged. The wealthy Greeks now control everything and will never be defeated.
2. Italy has won the EU-Zone $4T lottery and is no longer a default threat.
3. The IMF is granting (from somewhere) $10T to the EU, interest only with no principle repayment date required.
4. Spain is somehow "missing" from the planet Earth. No one can find it.
5. There have been reports from Rome that the second coming of Christ has in fact been witnessed but details will need to follow later.
6. Germany has overwhelmingly decided to have all its citizens pay their entire net worth, philanthropically, to the broader EU immediately.

Whatever it is, it will need to prop up the Euro after an interest rate decline and do it fast. Otherwise... well... Friday could be a bad day.

Wednesday, November 2, 2011

EUR/USD Overnight Tonight - Technicals

There is an old Johnny Cash song... "down down down, the ring of fire... down down down, the flames are getting higher... down down down, the ring of fire."

For our technical traders, you are correct... there is a new pipe and we are in the pipe 5x5 for now.

US$ Leverage - US Banks and Institutions (the Insti's) - EUR/USD

Now don't forget... a US bank will nearly not lend a US citizen home-owner and/or home-buyer any USD unless the bank's risk is about 1:1 (50% down payment for the US citizen.)

But, lending USD in a very high risk situation leading to an entire Euro-Zone 17 nation default? No problem, 40:1 is fine for a US bank(!!??)

That ratio is the same as if a home buyer wanted to make a down payment of $10,000 for a bank-financed $400,000 home. Please ask your local banker if that ratio is OK... hahahahahahahahahahahahahahaha.

If you do not believe these "simple" minded bankers should be in jail, you are a true and honorable pacifist(!)

Tutorial - MF Global and BAC/CHASE Sized Banks - 40:1 Losses

Ah... ummm... where exactly did a co. like MF Global get the funds for a 40:1 leverage?

Ah... well... someone(s) with lots of cash must have lent (lended?) it to them.

Now who could that be and when will it "come to light?"

You folks already know, we don't even need to say.

There is more than one 'level' in the disguised Euro funds from US institutions as we have said in a previous blog entry. You can scroll down and see the facts.

Price of Gold - in USD

If you haven't seen our Fibonacci estimate of the soon-to-be price of gold, you should scroll down and read it.

We now have alot more than a slight hint that the FED intends to print more USD...!

Don't get caught watching the paint dry.

FOMC - New FED Outline includes MBS

Current POR is now obvious after today's events:

If we need to dump the USD at any cost because of a Euro collapse, then we will print as much money as it takes. We will call it an MBS-purchase program in order to confuse everybody.

In that way, the big banks will be happy and a "little" inflation never hurt anyone(!) Even the Republicans might be on-board once they realize the banks may otherwise all go down.

But the Fed cannot do anything until December at the earliest.

The only way out of the Euro-zone problem is to massively run printing presses all around the planet as we have said...


These facts tell us how to make money and not to lose it instead.

Tuesday, November 1, 2011

Wall Street IQ (intelligence quotient) - Single Digits

The Wall Street folks like to talk about competition and survival of the fittest.

But survival of the fittest means exactly that. Survival of smart folks, and even smart dogs, over the weak intellect of Wall Street.

Washington needs to shut down the short-sighted in favor of a higher IQ.

That's what government is all about. Please get rid of any stupid influence on overall society. Please, get rid of Wall Street in the present state.

Silicon Valley and Wall Street

Here in Silicon Valley, most folks are the brightest of the brightest.

On Wall Street, well... we just don't get it.

We wonder exactly what kind of thing these folks were doing in college assuming they graduated in whatever subject they graduated in and assuming they have accepted the responsibility for continued learning from current events, etc.

In California, we have been disappointed with the intellect, and lack thereof, from Wall Street.

Maybe Wall Street needs to be changed to El Camino Real in Santa Clara Valley since the Wall Street folks can't seem to do anything constructive by themselves.

Sometimes, we need to make a change for the better.

Occupy Wall Street - NASDAQ NYSE BAC and other Bank Protestors

They are NOT protesting because of some class war.

They ARE protesting because they don't like stupid folks wrecking the worldwide economy.

In the US, we were taught to always take stupid folks out of our way but then to be somewhat kind to them.

As usual, we are finding it hard to be kind to them.

euro/usd - at the present trajectory...

... we will reach 1.3 in the very near future.

True value is about 1.0, so no one should complain about 1.3 or so.

Big US Banks - again going down - please, no bailout this time!

Armageddon is close enough that a true grim-reaper is standing at the front doors of BAC and Chase in a fully dressed black holloween gown, except the blade is not a costume and is made of true well-sharpened steel.

The Greek default is tiny compared to the Italian and Spanish defaults to follow and the big banks are intertwined never to be released. And the big banks use your money, not their own. (1st rule of investment = never use your own money.)

We wouldn't harp on this if it were simply the European banks. That we could understand. But the US banks? A travesty worse than 2008.

Strategy we Advise - EUR/USD and SP NASDAQ DOW all the Same

1. Uncle Ben cannot print more $ with the Republicans on his rear-end nearing 2012.
2. ECB must print Euro as part of the grand-default of the Euro-Zone.
3. Euro/USD way down and US equities (stock market) down exactly in correlation with EUR/USD as usual.
4. Get some US$ cash. Quickly.
5. Oil is a good short soon(!)
6. As are all other US$ traded commodities.
7. AUD and the NOK should follow suit.

EUR/USD Overnight Trade

Asia will not take any stand on turmoil so there should be zero movement until Europe wakes up and... well, nobody knows(!)

If you are interested, take a look at the AUD/USD movement overnight.

US Institutions Losing your US$ with yet another Failed Bank Risk

What is the reason for large US financial institutions to take on European risk?

Easy, because the interest rate and general rate-of-return in Europe is/has been much greater than in the US.

Did the US/SEC make a mistake? HA HA HA - the charter of banking institutions is well-defined. Crooks are crooks and they should be punished as such.

You can't just say "oh, I guess I killed someone as a drunk driver BUT law enforcement officials didn't stop me so it's all their fault." That is the media version of Wall Street law breakers. A shameful and irresponsible version. Or, simply a stupid version? We can't tell which one.

Euro Next and Technicals

So the EUR/USD has hung around the 50 day and 20 day SMA convergence for the most part but dropped below the 20 day SMA for a while today all the way down to the next support level it found at the 50/20 15-min. period SMA convergence thanks to day trading.

Despite all the media could do to raise the ratio, it still fell back at the end of the US trading day and is now convergent with the 50 and 20 period quarter-hour SMA's. What a... ah... a surprise(!) Same old same old.

But, some key technical support has been devastated to the downside.

Tutorial: Greek Vote - Euro/USD - Euro Zone Collapse

Ignore the media, you already know the facts are as follows:

1. There has already been a 50% default; otherwise, Wall Street funds wouldn't have already gone bankrupt.

2. The Greek vote is all about whether the Greek citizens will accept the present deal (50% loss for banks) or whether they will force a 100% loss.

3. Why do Greek citizens care? Because they are the supreme financial losers in this deal. That's why folks have already been throwing fire bombs at the police.

4. End of the day, can banks win out against the population? 50% or 100% loss? Really "good" news - ha ha.
_____________________________________________________________

To understand the Greek citizens, think of it this way:

- You have personally worked as an OK-paid professional in a start-up co. 16 hours per day and 7 days per week for years.
- You make this sacrifice because your co. may go public and you can cash-in your ton of stock options.
- Finally, the co. goes public! Then the co. informs you that your stock options are null and void.

That is how the Greek citizens feel. Do not underestimate the power of rage.

Monday, October 31, 2011

News from Europe Tues.?

Probably some "good" news, but only in print. A bunch of folks still need to get some $ out of Europe and maybe even out of the US Equities Market. That can only happen with a few "upward" movements.

BAC, Chase, Goldman Sachs, MF Global, Harry's $ Store, etc.

Let's once again go on record. Who is the next to fall? A big bank?

No.

Next is another "fund" used for the same purpose as M F Global Collapse (i.e. the MFGC Fund.)

The big commercial banks don't fall until last... as in 2008.

This time, there is no bail.

EUR/USD Trade for Tonight

We do not expect the 50-day SMA to be broken as it has not been. We expect the 50 and 20 SMA's to match and flatten. We expect no one anywhere in Asia to make any other moves overnight.

One day soon, we would love to be wrong so life could be more interesting!

Until then, there are ways to make $ with 'flat' too.

US Institutions - Exposed by the Euro Debt Gamble - BAC and Chase Next?

Here are the "sell-a-used-car-to-a-sucker" facts about the Euro/USD:

1. The euro needs to be high enough for a few thoughtful folks to SELL FAST!

2. Last Wed. the EU politicians met and said pretty much nothing... but that could not prevent a Euro/USD collapse on Friday before the risk-on weekend.

3. So on Thur. the EU says... super, we have concluded Greese/Grease! The investors only lose 50%! Super great deal!

4. Friday, one sucker after another buys into the Euro/USD (exactly = US Equity Indices) - everything gets bought by poor suckers.

5. Monday... oops. The definition of the 50% loss sends the Big M F Global Collapse into action. A legal action... to steal money by not paying it back. Sometimes, the word never uttered in the "news" is DEFAULT.

That's how it's done at the local used car lot and that's how it's done to you by the Euro problem unless you have listened and have protected yourself. There is much more money losing to come.

Do not consider your $ safe in any bank.

CNBC Conspired with MF Global? Artificially Raised the Euro/USD?

A TV network working with a Euro-sludge-fund is most likely against the law.

As usual, the facts only come out once there's a bankruptcy, etc.

Someone needs to look into this. CNBC has obviously been paid to "talk stupid" and ignore facts. (Because that's all it does and no one is that oblivious by themselves. It takes a conspiracy to be that oblivious.)

This is a travesty for the US dollar, for US broadcast law, for everyone in the US. Uggg.

MF Global - First Domino in set of US Institutions - Euro Catastrophe

Anyone who has briefly looked at this blog knows most US dollars are at risk in the Euro Zone. Here go the first ones down the toilet.

Next? Likely whoever used MF as a laundromat, B of A? Chase?

Hard to believe the same folks who destroyed the WW economy in 2008 have no hesitation to do it again in 2011 even after the tax payers saved their financial lives. And they are doing it in the exact same way... inordinate risk! First in housing, now in Europe.

A story of irresponsibility. (Or stupidity, we cannot tell which.)

Saturday, October 29, 2011

Arithmetic - dividing Euro by the US$ value - forex is easier than it seems

In grade school, we were taught to divide-out the part of the division arithmetic that we didn't want to hang around, for example, a/b... if we don't like a, then just multiply a/b 'times' c/a... in that way, "a" disappears and the whole fraction becomes c/b... now "a" is gone!!

Getting rid of the Euro is a little bit like that... but you need to know how to do it on Forex. We will follow with a more step-by-step tutorial soon, but probably you already get it.

This is the easiest way to beat the institutions for now.

Thursday, October 27, 2011

Tutorial - Hong Kong and Shanghai Institutions regarding Euro/USD

How do those big Chinese institutions deal with the Euro/USD trade?

First, through currency exchange trading just as our group does.

Secondly, there are lots of RMB in Europe so there needs to be a buffer to keep the value of RMB vs. Euro constant just as in the US dollar traded equities, e.g. OIL as everyone can see today from the rise in oil exactly consistent with the decline in the US$.

But how do US equities and dollar-traded commodities rise from the Euro rise at the exact same rate?

Because institutions, super-computer-assisted, can use a rise in the Euro/US$ to effectively "repatriate" the US$ they have risked in the Euro Zone. The Euro can be directly sold at a relatively high price that produces more US$ because of the exchange ratio - or - through the use of derivatives like puts, calls, futures, etc. And the US$ need to go somewhere immediately (in a nanosecond or so) and they go into US equities. There is no place else today.

Could there be any other reason for BAC day-trading to exactly copy semi trading?? Probably not. Banks and semiconductors, no real relation except the algorithms.

None of us believe what CNBC is paid to tell us, right?

When to Short Euro/USD = NASDAQ and SP?

As we said, the next trading day in the US may be a good time; however, do not forget these facts:

1. No one wants the Euro/US$ to super-crash on a Friday, that's why 'good' news has been abundant once again leading into a Friday.

2. But no self-respecting European would in fact be working on Friday, especially having to work a couple days previously in the week.

3. End of day? Nothing. Trade later. Often, the best trade is no trade at all. Just watch the supercoms do their low volume Friday work. The programmers are off.

Super Euro/US$ News Last Night - NASDAQ to be Shorted?

Super announcement.

The good news:

Major European banks will only lose 50% (half) of their investments in 'Grease' !! Stupendously terrific!

Because of the continuous algorithms on the super-computers, the US equities markets kept exact nanosecond pace with the Euro/US value as usual! (Don't forget, currency is traded with a 50:1++ leverage. You are smart folks, so you can work out the % math for yourse... well, you know.)

The bad news? Well:

Those banks will need to raise about 25% of the assets they just lost by sometime next summer... oh oh. You may want to "withdraw" from your account.

The American banks are already reviewing their losses-du-jour but don't have to tell you until later.

Oh yeah, the 4T "euros" to bail out the rest of So. Europe? Don't worry, lots of private investors simply cannot wait to get into that deal!! ha ha ha ha ha ha ha!

Prediction for Asia Euro/US Trading Overnight

Since some technical lines are coming together, we expect no currency move overnight.

Tuesday, October 25, 2011

BAC - Bank of America Corp.

A terrific target in the game of Euro/$ = US bank equity valuation.

Is there another large US bank that is so susceptible to an effective straddle?

This bank will be worthless - or - might be a fair gainer. But there is NO in between.

Perfect opportunity to straddle.

A good straddle (not a simple options straddle) is very low risk and high reward.