EURUSD 1.1851 |
USDJPY 111.52 |
GBPUSD 1.3772 |
AUDUSD 0.7485 |
USDCAD 1.2406 |
GBPJPY 153.59 |
EURJPY 132.15 |
AUDJPY 83.48 |
CADJPY 89.86 |
Silver 26.23 |
Friday's $2431 high in gold consisted of a 21% rise from the Feb 14th low. Such percentage extensions from key lows or/and technical levels such as the 200-DMA, could flag crucial opportunities for partial/full profit-taking. Watch here.
Bitcoin versus Miners Performance
As many of you know 2023 was kind to members of our WhatsApp Broadcast Group who snapped up shares in bitcoin miners, while 2024 has so far been more superior to Bitcoin than most of the miners...
View Hot-Chart..
So you think I should hold onto my USD which I converted from GBP some months ago :-((( ?
I also have some euro en france but nothing compared with GBP and USD i.e you are convinced DX heads up for the next year or so ?
I copy an exchange here ... it answers it all:
The Patriot's Flag
I am going to show you how the liberal economics stimulus package just $100 dollars. But keep in mind the government (both Democrats and Republicans) boys did this with trillions.
It is a slow day in the small town of Pumphandle, IA and streets are deserted. Times are tough, everybody is in debt, and everybody is living on credit. A tourist visiting the area drives through town, stops at the motel, and lays a $100 bill on the desk saying he wants to inspect the rooms upstairs to pick one for the night.
As soon as he walks upstairs, the motel owner grabs the bill and runs next door to pay his debt to the butcher.
The butcher takes the $100 and runs down the street to retire his debt to the pig farmer.
The pig farmer takes the $100 and heads off to pay his bill to his supplier, the Co-op.
The guy at the Co-op takes the $100 and runs to pay his debt to the local prostitute, who has also been facing hard times and has had to offer her services on credit.
The hooker rushes to the hotel and pays off her room bill with the hotel owner.
The hotel proprietor then places the $100 back on the counter so the traveler will not suspect anything.
At that moment the traveler comes down the stairs, states that the rooms are not satisfactory, picks up the $100 bill and leaves.
No one produced anything. No one earned anything. However, the whole town is now out of debt and now looks to the future with a lot more optimism.
And that, ladies and gentlemen, is how a stimulus package works.
And my reply:
This is quite to the point.
All the time panelists copy each other saying the FED prints money.
No. The FED does not print money, not a single greenback.
The FED's objective is not to save the economy.
The FED's objective is to increase the value of cash, because all dollar bills ever
issued are property of the FED.
Thus when Dr.Bernanke sheds tears on the unemployment and the state of economy which is still in a recession, this are crocodile's tears because it is just that what the FED wants.
Ok. physicists may have experimentally demonstrated that something can result from nothing. However this is what the FED does all the time.
The FED creates liquidity but not money. The liquidity which is actually nothing
goes to China Russia and elsewhere and boosts stock markets and home markets prices and then voila...the liquidity is repatriated all of a sudden...
Bear Stearns Lehman.... it is repatriated as cash. So something from nothing.
The fact is cash is rare. So rare no one has cash. And in a close future,
the ATMs and banks won't have cash either. Because the repatriation of trillions of liquidity requires more cash than there is.
http://www.frontlinethoughts.com/article.asp?id=mwo121010
"But what do interest rates, QE2, debt, and lower wages have to do with each other?
QE2 and the nervousness of investors around the world are pushing up interest rates. We in the US may not have as much time as we think we do before Bang! and rates start moving up with a vengeance. And no amount of QE3-4-5 will bring rates down when the bond vigilantes strike fear into the markets.
Further, that money is not showing up in new loans to either consumers or businesses. It is showing up in asset prices like stocks, emerging markets, and commodities. Oil at $90 and gasoline at $3 per gallon is a tax on consumers, especially at the lower end of the scale. Food prices climb as grains explode, along with the metals that go into our products. And rising interest rates are not good for mortgages. QE2 is not helping consumers or the housing market. Those are unintended consequences. I am sure that was not the plan. It is helping banks with a steeper yield curve. And maybe that is the plan".
apple pies
Exactly right ! Predicting the future and debating interesting macro economics is one thing. Trading is another thing altogether.
very simple: liquidity is not cash.
So what the US and FED do is pour liquidity in ( verbally: hot air) get cash out.
Emerging markets are cash cows.
Recently physicist have proved experimentally something can be made from nothing.
Well the FEd does this all the time.
Traders must not be misguided by emotions and morals and not by wishful thinking.
if anyone interest in that, please leave your email.
FED did NOT flood "the markets" with cash... in fact cash is rare. That is the fact to consider.
The FED is blowing up a fat bubble in China with currency transfer by its "assiociated" banks. What happened to china stocks when Lehman collapsed? US stocks fell 18% but China stocks fell 40% . The very same for Russia. The RTS collapsed by 50% and trade was suspended the Oligarchs tried to sell off but there were no buyers... 50% crash.
Thus we have to face the US still rules the world with the USD and China is more far away then ever to replace US. It is China's fault that they are so stupid.
edmundfriendshotmail.com
for @
i guess china problem blow in q3 2011. if they pass this test in next two years, i am looking forward to 2019/2020.
but that is nothing to us, we are trader, only forcous what is going on in next 2 weeks.