US elections matter, notably with such hugely important domestic and geopolitical issues at stake.
No matter who wins in November, ordinary people worldwide lose – especially if Hillary succeeds Obama next year.
Never before in US history has a more reviled and recklessly dangerous aspirant sought the nation’s highest office – a shocking indictment of a political system too debauched to fix.
Nova Scotia offered up 406,700 ounces of gold from their house account for the first delivery day in August. That is the biggest number I have seen in some time.
And they sold it at what was close to the low for yesterday at $1,332. That’s what one gets when they sell big in an active month which August is for gold. What were they thinking?
While many are touting a new bull market in Gold, and Silver for that matter, history suggests otherwise. When we look back at the history of commodity prices for the past two centuries we observe generally short bull markets followed by longer bear markets. Since Gold was fixed for most of this period a chart going that far back would be of little use.
After the considerable fanfare that followed the Liberal Democrats sweeping victory in the upper house of Japanese Parliament, the monetary stimulus measures that have seen been unveiled have not been met with optimism as evidenced by the recent strengthening in the Yen. In a sign that confidence in the Bank of Japan continues to fall, and recently announcement of expanded JPY 6 trillion in ETF purchases failed to move the needle lower for the Yen. Anticipation of more aggressive stimulus measures including expanded easing and lower interest rates was not rewarded after the Central bank abstained from making serious adjustments to existing policy measures. Despite the pessimism that surrounded the decision, it may have been the best move considering the ongoing deflationary pressures that have not budged and weaker consumption metrics. However, with deteriorating economic fundamentals comes the added risk of another wave of Yen appreciation.
Trump last week called on the Russian dictator to hack Hillary’s emails “Russia, if you are listening, I hope that you are able to find the 30,000 e-mails that are missing. I think that you will probably be rewarded mightily by our press. Let’s see if that happens,” which apparently according to the FBI has already happened as part of the great game that Putin is playing to help Trump become the next President of the United States.
The US Dollar Index price action has played out exactly as forecast in recent subscriber analysis. That analysis reduced the price expectation for the bear rally and the recent high of 97.62 was a bingo hit.
Let’s review the technicals beginning with the daily chart.
Everything is now aligned for the final upward impulse to complete Phase I of the great bull market in the PM stocks. All the technical work is now done. The backing and filling complete. The final fuel stop taken to fill up on short sellers who will provide the fuel for the final surge powered by short covering. The psychology is properly set with several prominent newsletter writers having kept there subscriber base out and on the sidelines of the market. So let’s take a look at the weekly and daily gold price and see how it has been methodically taking all the healthy steps required to set-up for this rally’s completion.
The week started off at SPX 2175, then spent the entire week trading within the two week, 20 point/1% trading range, until it nudged above it by one point on Friday. In the end the SPX made an all time high at 2177. For the week the SPX/DOW lost 0.45%, and the NDX/NAZ gained 1.30%. Economic reports for the week were negatively biased. On the downtick: Case-Shiller, consumer confidence/sentiment, durable goods, the Chicago PMI, plus weekly jobless claims rose. On the uptick: Q2 GDP, new/pending homes sales. Next week will be highlighted by monthly payrolls and ISM.
Americans have faced mass murder tragedies over the last few decades, all home- grown killers: Columbine high school shootings, the Sandy Hook elementary school shooting, [a false flag?], the recent Orlando shooting, to name a few amongst so many others. The taking of innocent lives in such a senseless manner is a heartfelt reaction experienced by the entire nation.
It is with empathy that we identify with the terrorist events that occurred in Germany, equally senseless but attributable to a common external trigger: Islamic terrorists. We use the term Islamic to describe the terrorists with no concern to be “politically correct.” The source of the murderers is beyond question. We also feel for the French and what that nation has been suffering as a consequence of allowing foreign Middle East immigrants to freely enter the country.
The only thing it seems that can hit this market hard to the down side in a sustainable fashion would be if the market smelled a rate-hike cycle about to begin. Bad news on its own doesn’t have any effect on how the market trades. The uptrend remains in place. We know this by two report s that came out this week. The first was the Durable Goods Report, which showed a number well below expectations. Folks just aren’t spending on those household goods. That bad news was follow-up by really bad news on the GDP on two fronts. The Q1 number was revised way down to 0.8% growth. To add insult to injury, the market had to deal with a 1.2% number this quarter, but the number was supposed to be all the way up at 2.6% growth. That’s more than just your average miss. That’s a disaster!
There are several indicators Suggesting this is the terminal move and that it may, in fact, be complete. I thought I’d review those items and put in a few more. Of course, the Triangle is a dead giveaway, but how do we know the pattern is finished?
If we accept the concept that Wave (5) is an Ending Diagonal, we can see the a-b-c structures in the motive waves. I’ll point out that Wave 3, at 19.34 points, is smaller than Wave 1 at 22.38 points. One rule to remember is that Wave 3 can never be the smallest Wave. Wave 5 at 18.02 points, fills the prescription.
In a bull market corrections can end quickly. One minute you are projecting another 5-10% downside and the next, the market has left lower prices in the dust. A negative reaction to the Federal Reserve statement could have caused lower prices but instead Gold and gold stocks are now primed for new highs. Fundamentally, we know the Fed will do nothing to prevent real rates from remaining negative. Since the trend has turned, Gold and gold stocks have mostly ignored the moronic, empty drivel emanating from these supposed geniuses. Moreover, despite reports of increased potential for a rate hike in September, weakness in precious metals abated and buyers returned.
The gold-mining stocks have enjoyed enormous gains in their young bull market this year, trouncing all other sectors. Naturally this radical outperformance has led to surging popular interest in this usually-obscure contrarian sector. New investors are wondering how to best track its performance, about which gold-stock benchmark is the definitive one to use. Something of a battle is brewing over new versus old.
Benchmarks are very important for stock trading. Their performances over any given span really help investors and speculators quickly understand how a sector is faring relative to others. Just one easily-digestible number distills down the collective performances of many stocks. Benchmarks also provide standards by which the performances of both individual stocks and individual traders can be objectively judged.
Jeff Thomas writes: Most of us watch television. In part, we seek to be entertained, but, additionally, we often seek to be enlightened as to “what’s going on.” In a difficult era like the present one, in which some of the most prominent countries are experiencing the onset of an economic crisis, virtual cartoon characters are competing as choices in political contests, governments are becoming increasingly rapacious and a police state is developing rapidly, it’s not surprising if the average person questions, “What on earth are they thinking?”
Facebook Crushed Earnings
Overall Facebook is a strong company with great numbers. Including 59% YoY revenue growth, 16 quarters beating earnings estimates, and 2 billion searches per day.
Below is a simple chart of Facebook, 2 days after they crushed earnings. Shown is a 6 month, daily chart using Japanese candlesticks, one of my favorite. Japanese candlesticks can tell a lot when used with other indicators.
Here are my TOP 10 Tips and tricks for playing Pokemon GO, for both beginners and experienced players to get you on the fast track to level up to evolve higher CP Pokemon’s
Use curve balls for more experience.
Busy locations for lots of stops and pokemon’s
Don’t power up your Pokemon’s until you reach level 13.
Watch out for Rustling grass for nearby Pokemon’s….
It appears that SPX was in need of a final thrust higher to complete Wave [c] of 2. It appears that the final thrust may terminate at or near the trendline.
By Justin Spittler Editor’s note: Yesterday, Casey Research founder Doug Casey shared his thoughts on the Brexit. Today, in part two, he lays out the major trends the Brexit will accelerate…and explains how you can set yourself up to profit from them…
This has the makings of a classic speculative opportunity—one where politically caused distortions are liquidated and prices readjust. But a word of caution. It’s going to take place within the context of the Greater Depression. And, as Richard Russell, who lived through the last depression, observed: In a depression, nobody wins. The winner is just the person who loses the least.
By Justin Spittler:
Editor’s note: It’s been a month since “Brexit”…the historic event that wiped out more than $3 trillion from the global stock market in two days.
Despite short-term memory loss affecting most investors, asset bubbles tend to crash with a vengeance. From over-valuation, risk ignorance, and reactionary sentiment, the current bubble-trifecta shows signs of turning over.
The monetary powers that be have succeeded in creating serial asset bubbles. Each is extending from the great expansion of credit pivoting on the last official dollar default in 1971.
And yet once, again we are bombarded with the mantra: “This time it’s different”.