Friday, March 31, 2017

Finally, It's A Good Old Fashion Correction

Divergences Warn Of Impending Correction

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The chart below shows the Nasdaq Composite plotted above the percent of stocks within the Nasdaq Comp trading above their 50-day moving average. The dashed vertical lines show every stock market peak for at least the last 13-years. Without a single exception, all of those corrections (a drop of 10% or more) and bear markets (20%+ drops) were preceded by clear, multi-month divergences between the Nasdaq Comp & the percentage of stocks trading above their 50-day moving average. Of particular note is the recent plunge in the $NAA50R which virtually mirrors the plunge that preceded the market top in 2015 which was followed by one of the largest corrections throughout current 8+ year bull market.
$NAA50R daily March 30th
$NAA50R daily March 30th
As with the Nasdaq Composite, every correction or bear market for at least the last 13 years in the S&P 500 was preceded by a clear deterioration in market internals as evidenced by the divergence between the S&P500 & the percentage of stocks within the index trading above their 50-day moving average.
$SPXA50R daily March 30th
$SPXA50R daily March 30th
The video below provides some additional commentary & observations on these divergences & how they are likely to affect stock prices going forward.

Weakness In Yen, Weakness In Gold

Going for Gold

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Just as I was mystified last week that anybody believed the TrumpCare bill would pass, I’m equally mystified to read people touting precious metals miners as a “buy” these days. I think gold, and the miners in particular, are in trouble. I remain very long JDST, and I’ve been yammering to my Slope Plus readers about metals quite a lot lately. As long as the Japanese Yen more or less continues to weaken, I think gold bears will be rewarded.

The Hits Keep On Coming For The U.K.

Brexit fuels price hikes with more down the line

British business is bracing for yet further price hikes as economists predict the cost of fruit and veg and olive oil will rise. OPCAustralia FruitAndVegKids ProfKevinFenton emmafreud GogartyMike “The Fruit and Veg Kids agree”— Stephen Colyer (Stephen_Colyer) March 29, 2017 In 2016 the UK imported £47.5bn worth of food, 78 percent from the EU.…

Tesla Stepping Into Infrastructure

Replace Energy in Australia in 100 Days – Tesla’s Musk Gains International Political Attention

Tesla’s CEO Elon Musk and his battery storage systems have been in the international spotlight this week by gaining attention from world leaders and politicians because of promises made in Melbourne, Australia. The southern region of Australia has been experiencing months of power outages and blackouts. Beginning in September 2016, this dismal power situation has persisted,…

Thursday, March 30, 2017

If They Can't Even Agree On How To Start, It's Definitely Taking More Than Two Years

Brexit is triggered but are London and Brussels agreed on next steps?

One day after the letter triggering the formal Brexit divorce was accepted and received with regrets in Brussels and the UK is getting its wish list is order for the forthcoming tough talks. But the remaining 27 member states are insisting that the size of Britain’s exit bill, must first be agreed before substantive talks can…

Being Environmental Never Goes Out Of Style

Beer Giant Commits to 100% Renewable Energy

Anheuser-Busch InBev has just announced their commitment to becoming 100% dependent on renewable energy sources by 2025. 75% to 85% of the electricity is planned to be provided through direct power purchasing agreements, while the rest is expected to come from on-site power sources like solar panels. style="display:inline-block;width:300px;height:250px" data-ad-client="ca-pub-8420654331411867" data-ad-slot="1313712966"> The strategy, which will reportedly reduce…

Going Green, Makin' Green

Clean Energy Sector Creates Jobs 12 Times Faster than Average

Over the last few decades, the US has been making a gradual transition to a more sustainable and energy efficient economy. New business models to support renewable energy and sustainability have emerged, which are also helping create thousands of sustainability jobs across the nation. A recent report by Environmental Defense Fund Climate Corps, “Now Hiring: The…

Wednesday, March 29, 2017

Despite Economic Headwinds, China Marches On

AIIB marches ahead on development path

The Asian Infrastructure Investment Bank approved 13 new members on Thursday. It now has 70 members, more than the number of members of the European Bank for Reconstruction and Development or Asian Development Bank. The AIIB has become the world's second-largest multilateral development agency, with members from different continents. And its fast development in the past…

Advances In Ethical Micro-Finance

Tamweelcom boosts small loans sector with 'responsible finance'

By Laila Azzeh - Mar 27,2017 - Last updated at Mar 27,2017 AMMAN — Non-profit Jordan Micro Credit Company, or Tamweelcom, a key player in microfinance in Jordan is adopting the concept of "responsible finance" in its practices, according to the company Tamweelcom announced its decision to incorporate a variety of responsible finance practices in its…

Tuesday, March 28, 2017

Who Really Controls The Price Of Oil?

Oil Prices Plunge With U.S. Production Soaring

This article originally appeared on the Motley Fool. After spending much of 2016 near multiyear lows, oil prices began to rally in late November as it became clear that OPEC would finally cut production to address a long-standing oil glut. On Nov. 30, the cartel officially announced that its members would cut their production by 1.2…

Australia Stepping Into The Void Left By The U.S. Free Trade Vacuum

China, Australia embrace cooperation, free trade in face of rising protectionism

Premier Li Keqiang shares a light moment with Australian Prime Minister Malcolm Turnbull during a news conference at Parliament House in Canberra, Australia, on Friday. [Photo/Xinhua] BEIJING - China and Australia on Friday inked a series of bilateral agreements and moved to expand free trade between the two major Asia-Pacific economies in a vote of confidence…

Monday, March 27, 2017

Relevance Of OPEC Increasingly Questioned

Don't look now, but OPEC is losing its ability to control the price of oil | Mulshine

Donald Trump hasn't tweeted about it, so few people have noticed. But one of the more important developments in recent history is occurring in the world of oil. Many experts are saying OPEC is losing control of its ability to dictate oil prices, particularly in North America, as shale-oil production has become price-competitive with conventional oil.…

Big Box Retail Being Consigned To The Dustbin Of History Like Floppy Drives And Mullets

Sears Among Companies That Likely Won't See 2019

This article originally appeared on the Motley Fool. The stock market has absolutely been on fire over the trailing 12 months. The broad-based S&P 500 has increased by a whopping 17 percent over that time span, which is more than double the historical average increase in stocks, including dividend reinvestment, of 7 percent over a one-year…

Hopefully This Is How The Rest Of His Agenda Works Out Too

Trump, in childish tantrum, threatens to wreck Obamacare | Moran

President Trump, wounded after his humiliating defeat on health care, now faces a choice. He can swallow his pride and work to improve Obamacare. Or he can use his executive powers to sabotage it, and then blame Democrats. Which sounds more like Trump? "Obamacare unfortunately will explode," he said after the vote. "It's going to have…

This Is A Relief

Bulgaria’s pro-EU party beats Moscow-leaning Socialists

Bulgaria’s veteran politician, Boiko Borisov and his pro-Europe centre-right party have claimed victory in the country’s snap election. With most votes counted the European Development of Bulgaria or GERB party won about 33% of the vote, but that’s well short of an outright majority in the 240-seat parliament. Exit polls show Gerb party won early elections…

Thursday, March 23, 2017

Hmmmm, And What Happened About 17 Years Ago I Wonder?

Dow, S&P Drop As Report Says Stocks Are Most Overvalued In 17 Years

Major U.S. stock indexes dropped by more than 1 percent Tuesday in what amounted to the worst single trading session for American markets since October. The drop appeared to vindicate worries that the record-breaking U.S. equities may be vastly overvalued. The Dow Jones Industrial Average (DJI) tumbled by nearly 300 points, or 1.3 percent, the S&P…

Speaking Of Amazon

Amazon’s Breakout Fizzles

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Amazon Web Continues To Spread Via Digital Assistant

Consumers can now use Amazon's Alexa to order Prime Now deliveries

SEATTLE — Users of's Alexa will now be able to order items for near-immediate delivery using the voice-activated digital assistant, another sign of how the e-commerce giant is trying to transform technological bets into a cash-generators. Prime Now, as the one-to-two hour delivery service is known, offers a more limited selection of items than the…

Wednesday, March 22, 2017

Bleak Energy Outlook

Cracklin' Rosie

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Finally, crude oil has cracked its trendline. Huzzah, Slopers!

Big Blue Betting On Cloud Based Blockchain

IBM Launches Blockchain As A Service To Be Used By Financial Companies, Other Businesses

IBM announced Monday the launch of IBM Blockchain, a commercial service that will provide enterprise companies the ability to build their own blockchain networks on IBM’s cloud platform. The company also announced the service is already in use or will soon be put to use by a number of businesses including financial service companies and a…

Grim Future For Retail

Sears, Kmart says future in 'substantial doubt' as 108 stores close

The company that operates Sears and KMart warned Tuesday that the struggling retailers might be running out of time to right their business and keep stores open. "Substantial doubt exists related to the company's ability to continue," Sears Holdings said in a filing with the Securities and Exchange Commission. Your local Target could look like this…

Tuesday, March 21, 2017

Unfortunately Not The Only Thing In China Worrying Me

China Worried About a Housing Bubble as Prices Soar

China is worried about soaring home prices in its massive capital city. Beijing announced Friday it would takes steps to keep home prices from spiking further by raising the down payment required for second homes and suspending some housing loans. The new policy announced by the Beijing Municipal Commission of Housing and Urban-Rural Development will see…

Monday, March 20, 2017

And It Begins: Let The Orgy Of Capitalism Commence

Financial Deregulation May Hit Consumers' Wallets

This article originally appeared on The Motley Fool. If President Donald Trump gets his way, Congress will repeal the Dodd-Frank Act and do away with the Durbin Amendment that caps fees charged by banks to process retail debt card transactions. Repealing the Durbin Amendment could cause retailers to increase their prices, and it may be a…

Hands-Off Attitude Of Governments Now The Current Flavor As We Lurch Dangerously To The Right

Laissez-Faire Government Should Concern Every Citizen

If the recent news from Washington isn't a little unsettling, maybe you should look again. A new administration has brought some unconventional thinking to the Oval Office, and the repercussions could be felt for years by American consumers. Among the changes: An executive order that whenever an executive department or agency publicly proposes a new regulation…

Great, The Fire Seems To Be Spreading

Trump's tough trade talk scores a win in battle with G20 powers

Baden-Baden, Germany (dpa) - President Donald Trump's tough talk on trade paid off Saturday when ministers from 20 world powers meeting in Germany agreed to abandon their tradition of championing free trade and rejecting protectionism. "We couldn't be happier with the outcome," said US Treasury Secretary Steven Mnuchin of the two-day meeting of Group of 20…

Sunday, March 19, 2017

I Don't Think He Cares Until It All Goes Horribly Wrong

Democrats: Trump's wiretap claims are hurting diplomatic relations

President Trump's unproven claim that President Obama wiretapped Trump Tower last year is "alarming," eroding diplomatic relations abroad and needs to be put to rest, top Democrats said Sunday. Rep. Adam Schiff said he hopes FBI Director James B. Comey will debunk the claim Monday during a highly anticipated hearing before the House intelligence committee on…

I Understand Everything Else Looks Overbough, But Telecommunications (IYZ) Is Making Moves

I made a very speculative call on Telecommunications ETF IYZ over a month ago and then reversed just two days later. In my defense I did say it was speculative and certain thresholds needed to be met in order to class it as a genuine bullish turn, and so the same warnings apply here. What I am seeing here that I like more than what occurred a month ago is a stronger crossover on my momentum indicators. Furthermore, the fall from July of last year to November was about $5.00 which is about what we are seeing here with the most recent fall starting at the beginning of the year. Overhead resistance is at around $33.50.
Even on the 30 minute chart we've had some nice bullish EMA crossovers with the trend closing in on the EMA(233). Next week amide all the doom-and-gloom that other over-bought sector ETFs are currently experiencing IYZ looks to be a possible sea of calm in an ocean of gathering storms.

Wanna Fight About It?

German defence minister slams Trump statement on NATO as incorrect

Berlin (dpa) - Germany's defence minister on Sunday criticized as "incorrect" US President Donald Trump's assertion that Berlin owes "vast sums of money" to NATO and Washington. Defence Minister Ursula von der Leyen said that "there is no debt account at NATO." She said Germany aimed to reach the benchmark 2 per cent of gross domestic…


US Government Could Shutdown In Late April

President Donald Trump’s first foray in the budget process with Congress could ultimately result in a partial government shutdown by the end of April and the military, both stateside and overseas, could be affected, Military Times reported Friday. Trump released his fiscal 2018 budget proposal Thursday and prefaced it with a letter to the legislative branch,…

Saturday, March 18, 2017

Marijuana Industry Continues To Be Legitimized

Pennsylvanians Say Pot Could Supplant Steel Industry

A Pennsylvania mayor said marijuana could successfully replacee many of the jobs lost during the downfall of the state’s steel industry. Community members in Braddock, Pennsylvania, have already requested state approval to build a marijuana cultivation site on a vacant lot that was once occupied by an industrial steel building. Town Mayor John Fetterman told local…

My Roomba Beat Me To A Piece Of Popcorn I Dropped On The Floor. This Is How The War With The Machines Begins.

A second robot staffed hotel opens in Tokyo

Dinosaur receptionists were on standby on Wednesday (March 15) as a second hotel staffed mostly by robots and automatons opened in Tokyo. Media were invited ahead of of customers to check out the nine types of robots that help check guests in, clean the lobby, and entertain guests. Humans staff are available and help maintain the…

Friday, March 17, 2017

I Couldn't Agree More, But Trump Doesn't Like Progressives

Cooperation is the future of ties with US

Premier Li Keqiang speaks to reporters at the conclusion of a news conference after the closing session of the National People's Congress at the Great Hall of the People in Beijing on Wednesday. Xu Jingxing / China Daily Premier Li Keqiang reiterated in his news conference on Wednesday the vital importance of healthy and sustainable Sino-US…

Businesses Responding To A Changing World

New Sustainability Report Shows How British American Tobacco is Responding to a Changing World

Showcasing how British American Tobacco is responding to a changing world is the focus for its latest Sustainability Report, out now. As a key strategic focus area, sustainability is crucial to the delivery of the Group strategy and is integrated across all parts of the business. Now in BAT’s 15th year of sustainability reporting, this new…

Strong Short Opportunity On Junk Bonds (JNK)

Perfect Retrace to Broken Trendline

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High yield seems pretty much doomed……

Wednesday, March 15, 2017

How About That The OPEC Agreement Isn't Worth The Paper It's Printed On Or That We Are Swimming In Reserves

March madness. What's causing gas prices to continue to plummet?

Is it the luck of the Irish, or all that winter gas that nobody wants that is responsible for gas prices continuing to go lower? Friday was a double shot of good news at the pump. The price of crude oil dropped like a cartoon coyote walking off a cliff to $48.39 a barrel Friday, on…

Boxed In By Four Super-Powers And Not Interested In Cooperating

Diplomat says N. Korea not interested in denuclearization dialogue

North Korea's deputy ambassador to the United Nations said Monday that his country is not interested in dialogue with the United States if it's aimed at denuclearizing North Korea. "If the purpose is making us give up our nuclear program, (North Korea) is not interested in any kinds of dialogue," Ambassador Kim In-ryong, North Korea's deputy…

People Are Forgetting How Much Medical Insurance Contributes To The GDP Since Obamacare

Trumpcare is a disaster. Attacks on CBO are desperate. | Moran

In a crippling blow that could derail Republican plans to replace Obamacare, the Congressional Budget Office Monday predicted a catastrophe, saying 24 million Americans would lose coverage over the next decade if this plan were approved, 14 million over next year alone. No wonder President Trump and his team have spent the last week trying to…

Tuesday, March 14, 2017

Doubt It, But Car and School Loans Bubble? Absolutely

Is America in Another Housing Bubble?

Quora Questions are part of a partnership between Newsweek and Quora, through which we'll be posting relevant and interesting answers from Quora contributors throughout the week. Read more about the partnership here. Answer from Victor Xing, investment analyst: America’s bifurcated housing market is a microcosm of uneven economic growth since the Great Recession. Signs of stress…

Financial Green Push Continues Unabated

China's stock exchange mulls index, board for green corporate bonds

BEIJING - China's Shanghai Stock Exchange will release an index for green corporate bonds and establish a board for such bonds to facilitate financing for environmentally friendly projects. The index and the board will be launched "at an appropriate time," according to the exchange. It said a total of 14 corporate bonds and three asset-backed securities…

Monday, March 13, 2017

Continuing To Fill The Void Left By The U.S.

EU summit stresses strengthening trade ties with China

BRUSSELS - The European Union (EU) will strengthen its trade ties with China in a bid to maintain its economic recovery against a backdrop of rising protectionism, a conclusion document released by the President of the European Council showed on Friday. "Trade relations with China should be strengthened on the basis of a shared understanding of…

At Least Someone Has

Iceland to lift capital controls from financial crisis

Iceland says all capital controls put in place to stabilise the economy during the country's 2008 financial meltdown will end this week. Sunday's announcement marks the completion of Iceland's return to international financial markets. "Capital controls on the country's individuals, firms and pension funds have been lifted with effect on Tuesday," the government said in a…

And Speaking Of Russia...

John McCain, Arizona senator, predicts 'there's a lot more shoes to drop' on Trump-Russia connection

Sen. John McCain predicted Sunday that "there's a lot more shoes to drop" regarding President Trump's connections to Russia, and said he believes top Trump associates should be called before Congress to testify. Appearing on CNN's "State of the Union," the Arizona Republican said the American people need more information and need it quickly. "There's a…

Pretty Sure The Same Claim Isn't Being Made Against Russia

Syria's Bashar al-Assad calls US forces 'invaders'

Syrian President Bashar al-Assad has called US forces deployed in Syria "invaders" but said he saw promise in US President Donald Trump's vow to prioritise the fight against ISIL. About 500 US troops are in Syria in support of the campaign against the Islamic State of Iraq and the Levant (ISIL, also known as ISIS). The…

Sunday, March 12, 2017

I'm Still Waiting For Jet Packs To Be Invented

Courtesy of: Visual Capitalist

What Next Week Might Bring

La Grande Image

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Hey, guess what – – – I’m bearish on equities. Surprise, surprise, surprise! Allow me to share a few charts to support my point of view.

First up is the Russell 2000, which has broken the midline of its channel. It seems to me a trek down to the supporting (lower) trendline is the next logical step.
Augmenting this theory of weakness is the Dow Transports, which broke out above an important baseline (red horizontal) but have been flailing around it ever since. I’ve made an inset chart which shows you how Friday’s rally did only one thing: push it up against the underside of the failed horizontal once more.
There’s also the volatility index, which is still in the laughable 11.xx zone. Examining the rhythm of “explosions” we’ve seen, I’d say we’re just about due (hence the green arrow).
Lastly, our dear friend energy had a crucial breakdown this week, and my view is that the white space I’ve enveloped with a rounded rectangle is going to be the playground of the bears in the weeks ahead.

Yeah, Sure

China's yuan exchange rate will be stable this year, PBOC says

Beijing (dpa) - The exchange rate for China's yuan will be "relatively" stable this year as global confidence in China's economy is growing, China's central bank governor predicted Friday. The People's Bank of China would not adopt any major policy changes this year, Governor Zhou Xiaochuan added during a press conference on the sidelines of China's…

Saturday, March 11, 2017

On The Heels Of Weapons Announcements By China And The U.S.

Russian MiG-35 Being Equipped With Laser Weaponry

Russia's MiG-35 fighter jets will soon be equipped with laser weaponry capable of destroying "potential enemy warplanes' electronics," Russian aviation expert Dmitry Drozdenko said Thursday. In a recent interview with Sputnik News, Drozdenko focused on how the changes in the MiG-35 will add to the warplane's combat capability. The latest development to the MiG-35 will begin…

Fortuitous Find Just As Prices Are Stabilizing

Largest Onshore Oil Discovery In 30 Years Found In Alaska

A Spanish energy company discovered the largest onshore oil reserve in 30 years while drilling in Alaska. The reserve found by Repsol and its partner Armstrong Energy could contain as much as 1.2 million barrels of light oil, the company said in a press release Thursday. The well was found near the village of Nuiqsut in…

Friday, March 10, 2017

The First Of Many Critical European Elections

SPECIAL ADVISORY: All eyes in Europe on Netherlands election

Amsterdam (dpa) - The Netherlands kickstarts a super electoral year in Europe on Wednesday. European leaders, especially in France and Germany where polls will take place in the coming months, will be watching in trepidation to see whether the Dutch will swing to the right or leave the populists out in the cold. dpa plans the…

It's Been A Bad Week For Energy

Wednesday's oil smackdown continues in Thursday trading

WASHINGTON, March 9, 2017 – All of a sudden, crude oil prices have reversed field and are, at least temporarily, in the midst of a Wile E. Coyote-style cliff dive. Stocks and market averages have been following suit, and as of Wednesday's close, the carnage was increasing. Thursday trading action provided a marginal respite, though crude…

Odds Of Rate Hike Almost Assured

America Winning: Economy Adds 235,000 New Jobs

The new jobs report released by the Bureau of Labor Statistics on Friday appears to be yet more evidence that President Donald Trump's policies and priorities are renewing confidence in the American economy. Non-farm payroll employment rose by 235,000 in February, according to the report, while the unemployment rate dropped slightly to 4.7 from 4.8. Significant…

Thursday, March 09, 2017

Education Is The Greatest Weapon We Have Against Poverty And Injustice

Raffa Companies Launch Mentoring Program to Empower Women Leading Change Around the Globe

With the launch of the Empowering Vital Leaders Initiative, Raffa’s new global e-mentoring partnership with Vital Voices (VV), Owner/Partner, Kathy Raffa, and her mentor teams of back office/operations experts aim to take their impact with this longtime Raffa client to new heights. The Initiative leverages the capacity and kindred values of two organizations who share a…

Wednesday, March 08, 2017

Successfully Profiting Off Another Limitless Resource

4 Signs Texas Could Lead The Clean Energy Economy – But Will It?

“If you want to know how wind works for America, just ask a Texan.” That’s according to Tom Kiernan, CEO of the American Wind Energy Association (AWEA), which just released its newest wind industry market report. The AWEA report shows Texas is the nation’s indisputable wind powerhouse, including serving as home to nearly a quarter of…

Do You Really Need Someone To Explain It To You?

Why Does the Price of Bitcoin Keep Rising?

The media has announced the death of bitcoin more than 100 times since its inception in 2009, yet its value continues to rise and reach new records. The price of bitcoin hit all-time highs for four days in a row this week, peaking at $1,293 on Friday. With gold trading at $1,230 an ounce, this is…

China Trying To Open Up, But Will It Work?

China Taking Political Risks for Economic Reforms, Foreign Investments

China is responding to international criticism that it gives favorable treatment to state-owned enterprises (SOEs) while neglecting of the needs of foreign companies, and even foreign markets that buy Chinese goods. Releasing the annual work report, or budgetary proposals, in the National People's Congress (NPC), Chinese Premier Li Keqiang signaled a crackdown on loss-posting "zombie enterprises"…

As Someone Who Lives In Europe, I'm Just Hoping This Brings About The Death Of Opel And Vauxhall Sooner

GM to sell Opel, Vauxhall to PSA Groupe for $2.2 billion

DETROIT — General Motors is saying goodbye to its Opel and Vauxhall brands and ending its presence as a major automotive manufacturer in Europe after nearly 90 years there. GM said Monday it has reached a deal to sell its European operations to French automaker PSA Groupe for $2.2 billion, a decision that shakes up the…

Tuesday, March 07, 2017

A Change Long Overdue

Global Organizations Drive (Quietly) Sustainable Capitalism

Over the last few decades, a global movement toward a different business model has emerged. The new model is related to broader efforts to promote sustainable development and the circular economy, and is driven in large part by the challenges of climate change. However, the new commitments made by responsible organizations and governments across the world…

Monday, March 06, 2017

This Is A Critical Time For Energy (XLE)

I posted a sell on Energy ETF XLE at the end of December not thinking that it would play out like this, but sure enough we've test MA(144). "Surely there would be a bounce," I said to myself. We are currently in a cute tight little channel that looks imminently ready to test the upper resistance line of this channel and then I read that isn't Russia cutting back on oil production. Doubt has now permeated my thinking instead of looking objectively at the fundamentals. Four days ago my favorite momentum indicator entered signaled a "long/buy," but on reviewing the 60 minute chart I've noticed a very large declining triangle which often breaks to the downside and so I have held back issuing a "long/buy" on XLE.
As you can see on the 60 minute chart overhead resistance is about $72.80. I'm going to need to see some resolution to this pattern before I start buying and others would be advised to do the same. 

I Knew They Couldn't Keep Oil Going Up

Saudi Aramco Gives Its Asian Buyers A Discount

Deviating from the Organization of Petroleum Exporting Countries’ efforts to jack up the price of oil, Saudi Arabian Oil Company, commonly known as Saudi Aramco, offered Asian customers a discount on its light crude exports for the first time in three months, Reuters reported Friday, citing “trade sources.” The price cuts, one of which stood at…

Chinese Continues To Strengthen Regional Economic and Infrastructure In-roads

Chinese investors commit highest amount of FDI at Investment summit in Nepal

KATHMANDU - Nepal received the highest investment pledges from China as the Himalayan country received a total pledge of $13.52 billion from seven countries at Nepal Investment Summit that concluded on Friday. Chinese delegation, which has the largest number of investors, committed foreign direct investment (FDI) of $8.2 billion in the two-day event, according to Investment…

Feels Like Silver Back In 2011

US Markets Reach a Historic High Point

It was another historic week for U.S. markets as the Dow Jones Industrial Average closed above 21,000 for the first time, taking only 24 trading sessions to rise from 20,000 to 21,000 — the second-fastest 1,000-point move ever by the index. The S&P 500 closed higher for the week, completing a six-week win streak for the…

It's A Lot Less The 54% (And Reasonable Too)

China to raise defense budget by about 7 percent

National People's Congress spokeswoman Fu Ying speaking at a news conference in Beijing, March 4, 2017. [Photo by Feng Yongbin/China Daily] China will increase its defense budget by around seven percent in the fiscal year of 2017, and the overall military spending will account for about 1.3 percent in GDP, said Fu Ying, spokeswoman for the…

Sunday, March 05, 2017

I'm Sensing A Change In India (PIN)

With regards to the general market, the S&P in particular, I'm sensing that it's about time for a pullback. Rest assured, the ascent in this insane over-bought and reckless market will continue, so my job right now is to identify good shorting opportunities or equities with a sufficient enough fall to profit off a short.

One of the ETF's I've taken a particular near-term dislike to is the Powershares India Portfolio PIN. Ages ago we made a call on a long/buy on PIN in December. The climb since then has even me surprised - a narrow channel with minor tests and even fewer retracements and tests. Even the EMA(5) hasn't crossed in this period which is quite unusual. We won't see another ascent like this for some time! On Friday one of my momentum indicators signaled a sell/short signal. With the previous highs from September putting a floor in at $21.20 I think it's pretty safe to say where this is going to retrace too and where the next buying opportunity is.

Just When You Thought This Presidency Couldn't Get Any Weirder

Trump Might Break Tradition Without A Pet In Oval Office

Donald Trump could become the first U.S. president in decades who doesn't have a pet dog – or any pets for that matter – in the White House. Other presidents in the past have had a least one dog, while many had several. The last U.S. president who did not own a dog in office was…

Hopefully This Will Take Some Of the Air Out Of The Balloon

Fed Chair Janet Yellen signals interest rate hike

CHICAGO — Federal Reserve Chair Janet Yellen signaled Friday that the Fed is likely to raise interest rates when it meets later this month. In a speech before the Executives' Club of Chicago she said the economy has weathered "adverse shocks in recent years" and the Federal Open Market Committee is confident that the economy is…

Free Money In The Middle East, And It's Not Oil

JinkoSolar to build solar plant in Abu Dhabi

Sweihan project to offer one of lowest power prices by a utility globally JinkoSolar Holdings Co Ltd, the world's largest solar panel producer by shipments, will join force with Japan's Marubeni Corporation and the Abu Dhabi Water and Electricity Company (ADWEC) to develop one of the world's largest photovoltaic power plants in Abu Dhabi. The Sweihan…

We Were Warned Brexit Would Have A Delayed Effect

UK economic momentum fading business surveys suggest

Britain’s unexpectedly strong economic growth since last June’s vote to leave the European Union may be starting to fade as inflation picks up. A major survey of businesses by the financial data provider Markit has found slowing consumer spending is starting to hurt services companies. So what’s the message from the Purchasing Managers’ Index – or…

Saturday, March 04, 2017

Private Sector Continues To Invade Space

Virgin Galactic's LauncherOne small satellite service becomes separate company

LOS ANGELES — Virgin Galactic's small satellite launch division is now its own company. Known as Virgin Orbit, the company will be focused on developing LauncherOne, a satellite-launching rocket that will be dropped from the wing of a Boeing 747. Virgin Orbit, headquartered outside Los Angeles, will be led by former Boeing Co. executive Dan Hart,…

"Hung Over" Indeed, We Need To De-tox For A While

Trump Rally steps back after Wednesday's massive Wall Street celebration

WASHINGTON, March 2, 2017 – After yesterday's post-Presidential Address party on Wall Street, more sober (or hung-over) heads prevailed Thursday morning as many stocks, particularly in the financial arena, decided to pull back a bit. On the flip side, the controversial IPO of Snap, Inc. (symbol: SNAP)-the official corporate name for the popular Snapchat app and…

While Gold Is Falling, People Should Look At This Developement Very Closely

Bitcoin value tops gold for first time ever

The price of a single bitcoin has gone higher than one ounce of gold for the first time ever. The digital currency has jumped to an all-time high, at over $1,270 . The value of bitcoin, which has been very volatile in the past, is up by nearly a third this year. Gold 2.0 (bitcoin) price…

Putting The 'Canada (Steel)' Back In TransCanada Keystone Pipeline

White House exempts Keystone pipeline, project not required to use American steel: Report

President Trump's pledge that new pipeline projects will use "American steel" will not apply to the Keystone XL project, according to media reports, directly contradicting the president's own words last week. Politico reported late Thursday night that a White House spokeswoman explained that the project, which has been in the works for the past decade, does…

Friday, March 03, 2017

On The Heels Of China Announcing It's Mobile Laser Platform

AFSOC Expects C-130 Laser Tests Within Year

ORLANDO: More than a year since news broke that Air Force Special Operations Command planned to install and test lasers on its fabulously lethal AC-130 gunships, the plan now is to get its top unfunded requirement tested within a year. Lt. Gen. Brad Webb, head of AFSOC, told me that was now the plan. General Atomics…

Possible Resurgence Of The Dollar?

The PM Sector "Tips It's Hand"

originally published Tuesday, February 28, 2017
Printable Version
Various Reports

It is common for commodities to drop in unison, especially metals and oil, and last night we observed that oil looks set to drop hard soon, which was given added significance by the sharp drop in Precious Metals stocks yesterday, that calls time on the recent gold and silver rally that occurred this year to date. That drop yesterday in the Precious Metals sector, which occurred without a concomitant drop in gold and silver, was the market “tipping its hand” because stocks tend to lead the metals, so we can expect gold and silver to follow suit shortly and drop – along with oil, and copper. On the 6-month chart for gold we can see that the uptrend is weakening, with it taking the form of a bearish Rising Wedge, and as it has now arrived at significant resistance near to its still falling 200-day moving average, and is rather overbought, it is at a good point to turn lower.
The picture is similar for silver, although its channel is not converging so much, and resistance is not so clearly defined. Silver is critically overbought on its RSI, which doesn’t help. Notice on the 6-month chart how silver has a habit of rising in a bumbling hesitant manner much of the time, and suddenly plunging. We haven’t had a plunge for quite a while and one looks due.
The resistance set to turn silver lower is more clearly visible on its 1-year chart, on which we can see its origins, and we can also see that the laws of proportionality (almost as important as the laws of manipulation) favor silver turning lower, as it has arrived at the upper boundary of a cone shaped downtrend.
At this point it is worth considering silver’s latest COT, which is looking increasingly ugly with high Commercial short and Large Spec long positions again. The last time readings were up at these levels was last July – August, before a lengthy downtrend set in, as we have seen on silver’s 1-year chart.
Finally, the charts for GDX show that the market “tipped its hand” yesterday as it dropped over 5%, which was the biggest drop since last November. Since stocks lead the metals, this chart shows PM stock traders racing for the exits to book profits before a sector downtrend starts, which means that gold and silver should now follow suit and break lower.
Just why GDX turned lower where it did is made more clear by its 1-year chart, on which we see that it had arrived at a band of quite strong resistance near to its flattening 200-day moving average. This breakdown is believed to mark the start of a sector intermediate downtrend, and oil and copper look set to join in this downside party too. Close stops should therefore be set beneath any open long PM stock positions. Twice leveraged ProShares Ultrashort Gold, code GLL, $75.82, is also recommended for immediate purchase, and a stop may be placed at $73.80. We will review its chart later.

End of update.

Wednesday, March 01, 2017

U.K. Plans To Turn Itself Into The Economic Equivalent Of Nevada

Britain's Plan to Become the Next Switzerland

If Britain’s exit from the EU goes horribly wrong, the U.K. government has hinted at a contingency plan: radically reduce corporate tax rates, turning Britain into an irresistible tax haven for international companies. In an interview in January with the German newspaper Welt am Sonntag, Britain’s finance minister, Philip Hammond, suggested that if the EU were…

I Think It Was Deregulation That Got Us Into The Mess We Are In Now

Dodd-Frank dismantling is a good place to start in draining the swamp

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State Of The Union Will Probably Clarify This (Hopefully)

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I Think This Is Ignoring A Massive Global Glut In Oil

Saudi Arabia wants oil prices to rise to $60 in 2017

Saudi Arabia wants crude oil prices to rise to around $60 a barrel this year, five sources from OPEC countries and the oil industry said. This is the level the OPEC heavyweight and its Gulf allies - the United Arab Emirates, Kuwait and Qatar - believe would encourage investment in new fields but not lead to…