Monthly Archives: May 2013

The Market is Now Sending Numerous Red Flags

Stocks are on the edge of a cliff. As you can see, the S&P 500 has failed to breakout to the upside and is now sitting on support. If we take out 1650 we could easily to for 1600 in … Continue reading

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Is the Mining Sector About to Explode Higher?

Is it time to buy Gold miners? The precious metals mining sector was slammed with Gold’s sharp drop in prices in April. Mining companies are more “pie in the sky” than owning actual bullion, so mining shares typically move much … Continue reading

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Stocks Are Warning Danger! Danger!

A few weeks ago, we noted that stocks looked to be posting a false breakout. A false breakout occurs when the market breaks out of a technical formation in one direction then fails to follow through on the move. Looking … Continue reading

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There is Word For This Kind of Market… It’s BUBBLE

The following is an excerpt from a recent issue of Private Wealth Advisory. We are now seeing clear signs that the US is moving back towards a recessionary territory. The first quarter US GDP data showed the US economy growing … Continue reading

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The Fed’s Hands Are Tied… Right as the Financial System Begins to Crack

The Fed would do well to look at Japan. Japan’s Nikkei, after rallying over 70% since November, just collapsed 11% in less than two days. Looking at the chart, it’s pretty clear where this thing is heading: the same as … Continue reading

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Will Japan Trigger a Global Financial Meltdown?

Japan’s bond market is officially losing control. We have definitely taken out the multi-year trendline here, making a new high higher after a higher low. This is BAD news as it indicates that Japan’s bond market could be entering a … Continue reading

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We All Know How This Will End… Badly

Just what is the Fed so scared of? Today, the Fed’s favorite reporter, Jon Hilsenrath at the Wall Street Journal published an article completely refuting his own work from just two weeks ago. If you’ll recall, two weeks ago, Hilsenrath … Continue reading

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Why Bernanke and His Pals Are Terrified

Two big events have occurred/ are occurring. 1)   Chicago Fed President, Charles Evans who is one of the biggest pushers for QE, stated that the Fed has “the appropriate monetary policy in place” and that the economy is “improving quite … Continue reading

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This Crisis Is 30 Times Bigger Than Greece

Japan has fueled much of this latest rally in stocks, driving the marketing first with promises of money printing by the Prime Minister in November 2012, and then a massive $1.2 trillion QE program announced by the Bank of Japan … Continue reading

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Wal-Mart Warns of Economic Disaster… Are You Prepared?

If you want to get a sense of what’s happening in the world, your best bet is to ignore Government data and focus on corporate revenues. Why revenues? Because earnings can be massaged any number of ways (depreciation methods, laying … Continue reading

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The BIG Warning Signal to Stocks That 99% of Investors Are Ignoring

Bill Gross, who manages the world’s largest bond fund, has indicated that the 30+ year old super cycle bull market in bonds has ended. This is very bad news for the markets. First and foremost, if bonds fall, rates will … Continue reading

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Stocks Disconnect From Reality… and Every Other Asset Class

The stock market is completely and totally out of control. Eight of the last ten closes have been new record highs. It’s now been six months since we had a 5% correction. Traders got us to 1,650 on the S&P … Continue reading

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It’s Official: Stocks Are In a Bubble

The markets are rallying because today is Tuesday. Stocks have rallied every Tuesday for the last 17 weeks and traders are now conditioned to play for this move. It’s also a POMO day (meaning the Fed is pumping the markets), … Continue reading

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The Fed Just Sent a Signal: the Party Will Be Ending Before 2014

After the market’s close on Friday, Jon Hilsenrath at the Wall Street Journal released an article implying that the Fed might remove or reduce its QE programs before the year end. The reason this matters is because Hilsenrath is thought … Continue reading

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On the Verge of the Biggest Bond Implosion of All Time

Japan should serve as a lesson to central planners around the world. Japan’s stock market/ real estate bubble burst in the early ‘90s. Since that time Japan has launched NINE QE efforts equal to roughly 25% of its GDP. And … Continue reading

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This Bubble Will be Even Worse Than 2008

Stocks are officially in a blow-off top. This is the culmination of Bernanke’s life’s work. In his mind he has succeeded in saving capitalism by spending trillions of Dollars pushing stocks higher. It doesn’t matter that the US hasn’t experienced … Continue reading

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The Market is Now the Most OverBought In Four Years

Stocks are now beyond overbought. The market ramped on Tuesday (the 17th straight Tuesday rally by the way) because traders are now playing for Tuesday rallies. The financial media is looking for any and all reasons to justify the move, … Continue reading

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Four Major Warning Signs Investors Should Not Ignore

The market is beyond overstretched at this point on a short-term, intermediate term, and long-term basis. The sheer number of warning signals is staggering. The blow off top out of the rising wedge pattern we noted before is rolling over … Continue reading

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Are We Heading Into a 2008 Style Economic Implosion?

The media is jumping for joy over last week’s US jobs numbers. But beneath the veneer of headline numbers lies a truly horrible economic reality. Let’s have a look at the two key economies for the world: China and the … Continue reading

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QE Has Been and Will Be a Complete and Utter Failure

The Fed is now blaming Congress for the failures of its QE policies. This is to be expected, given that no one in the power elite ever accepts responsibility for their own failures. Congressional members blames each other (depending on … Continue reading

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