Tuesday, November 05, 2019
China Is an Underrated Threat to the World / Politics / China US Conflict
In Hong Kong, somewhere between 1–2 million people (out of a 7+ million population) have taken to the streets protesting an extradition bill proposed by Beijing.
These protests have been ongoing and persistent. That the extradition bill has now been withdrawn is seemingly not enough to satisfy a smaller but active protest group.
And then came the furor over the NBA. The general manager of the Houston Rockets, Daryl Morey, tweeted out a small and rather innocuous message of support for the Hong Kong protesters.
Tuesday, November 05, 2019
Reasons Why Madrid Attracts Young Professionals / Housing-Market / Spain
Among the many cities that attract young professionals, Madrid stands tall. The daily routine for an average young professional tends to be strict and full of hard work. Therefore, the last thing a young professional need is to struggle with issues like housing and other benefits that Madrid has to offer.
As a young professional, you need a place or city that allows you to live and stay healthy: physically, mentally, and spiritually. In such a city can you be guaranteed positive results and high productivity. The good news is apartment renting in Madrid offers a wide variety of options as well as convenience. These reasons and others are why Madrid attracts young professionals. Let's take an in-depth look into this.
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Tuesday, November 05, 2019
Time for Investors to Reset Their Portfolios for Inflation / Stock-Markets / Inflation
As investors reset their clocks to accord with the end of Daylight Savings Time, they may also need to reset their expectations for future returns.
A strong body of research suggests that artificially changing the time twice a year – forward, then backward an hour – does more harm than good. It leads to sleep disruptions, heightened stress, missed appointments, wasted time (ironically), and a diminishment of productivity around these biannual time changes.
As reported in HeadlineHealth, “Circadian biologists believe ill health effects from daylight saving time result from a mismatch among the sun ‘clock,’ our social clock – work and school schedules – and the body’s internal 24-hour body clock.”
Tuesday, November 05, 2019
Larger Bullish Move in USD/JPY May Just Be Getting Started / Currencies / Japanese Yen
Summary
- Once current retracement is complete the USD/JPY has a good chance of exceeding last week’s high.
- Pair still in early stages of following through on bullish breakout of a large head and shoulders bottom.
- Upside target zone around $110.51 to $110.70.
Following an upside breakout of a large head and shoulders bottom pattern several weeks ago, the USD/JPY pulled back to test support of the neckline last week. So far, the area of the neckline has held as support around $107.88. Whether it continues to do so remains to be seen.
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Tuesday, November 05, 2019
Constructive Action in Gold & Silver Stocks / Commodities / Gold and Silver Stocks 2019
In our most recent editorial we concluded by observing a few positives in the gold and silver stocks. W concluded with: “Their performance over the weeks ahead could give us an early hint as to how much longer the correction will last.”
Fast forward another week and a few positives has morphed into a handful of positives.
First let’s look at GDX. In the chart below we plot GDX and its advance decline (A/D) line.
GDX has essentially corrected for two months and it has yet to test the previous resistance zone at $24 to $25. It has bounced from $26 several times and established good support there. So it’s holding its gains.
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Tuesday, November 05, 2019
The Boring Industry That Hands +500% Gains / Companies / Sector Analysis
Smart hunters prey on the weak.
That may sound heartless, but lions instinctually know not to chase fast, young gazelles. Instead, they run down the old limping gazelle in the back of the pack.
Smart disruptors also target easy prey.
Amazon (AMZN) first went after bookstores like Barnes & Noble and Borders. What could be easier than selling books online? Books are easy and cheap to mail... don’t spoil like food... don’t come in different sizes like clothes... and book buyers rarely demand refunds.
Then there’s Netflix (NFLX). It didn’t challenge mighty Disney (DIS) right away. It went after the limping gazelle known as Blockbuster, a company that hadn’t evolved much in decades.
Tuesday, November 05, 2019
How to Fast Tame New Budgies to Sit on Your Finger - Parakeets Taming & Care / Personal_Finance / Educating Children
It's only day 4 and we have already managed to to get our new pet budgie to start sitting on our fingers. So find out how to fast tame your budgie to sit on your finger in our latest Budgie / Parakeet care series video.
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Monday, November 04, 2019
Stock Market Chartology vs Fundamentals / Stock-Markets / Stock Markets 2019
I’ve been holding off on writing this Weekend Report for the US stock markets until I got just a little more confirmation that the next impulse move higher is underway. Last weeks price action is strongly suggesting that the nearly 2 year consolidation phase is drawing to a close. Lets say I’m seeing some green shoots sprouting up in many different areas of the markets.
Most investors rely on the fundamentals in which to make their trading decisions because that is how its been since the beginning of trading the markets. Fundamentals do have a place in investing in the long term trend but they usually lag at the beginning of a major turn in the markets. Normally when the fundamentals turn up at the bottom of a bear market the price action has already turned up many months in advance. The same thing is also true at tops. Before the fundamentals turn down the smart money has already gotten out while those looking at the fundamentals are left holding the bag.
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Monday, November 04, 2019
The Fed’s Policy Is Like Swatting Flies with Nuclear Weapons / Interest-Rates / US Interest Rates
The Federal Open Market Committee had an unscheduled meeting on October 4. That happens occasionally and they often don’t reveal it occurred until the next regular meeting. That would mean Oct. 30, in this case.
But for some reason (and you can bet they had a reason) they decided to announce this one on Oct. 11.
In between, Fed Chair Jerome Powell said in an Oct. 8 speech that the Fed would soon start growing its balance sheet again.
Monday, November 04, 2019
Stock Market Warning: US Credit Delinquencies To Skyrocket In Q4 / Stock-Markets / Financial Crisis 2019
Farm delinquencies skyrocket +24% year over year as global trade issues and the ability to service credit continues to be a problem. This is a tell-tale sign that the US Fed decreased the Prime Rate recently as a result of broader credit issues related to higher interest rates for corporate and other borrowers. The last thing the Fed wants is another collapse on the lending markets similar to 2008-09.
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Monday, November 04, 2019
Stock Market Intermediate Topping Process Continues / Stock-Markets / Stock Markets 2019
Current Position of the Market
SPX: Long-term trend – There are no clear signs that the bull market is over.
Intermediate trend – Most likely building an intermediate top.
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discusses the course of longer market trends.
Daily market analysis of the short-term trend is reserved for subscribers. If you would like to sign up for a FREE 4-week trial period of daily comments, please let me know at ajg@cybertrails.com
Monday, November 04, 2019
Stock Market $SPY Expanded Flat, Déjà Vu All Over Again / Stock-Markets / Stock Markets 2019
A Flat is one of the corrective structures in the Elliott Wave Theory. It is in our opinion the most dangerous and also less reliable structure. The reason is because a Flat allow analysts and traders to force a bias against the trend. Many times the market fails to reach traders’ correction target. When the market reacts different to the expectation and breaks into new highs or lows, analysts like to call an expanded flat as a way out. This is the last resource to prove they are not wrong in their original forecast. The structure of expanded flat looks like the following chart below:
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Monday, November 04, 2019
How To Buy Gold For $3 An Ounce / Commodities / Gold & Silver 2019
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Sunday, November 03, 2019
Goldman Sachs (NYSE : GS) Bulls Aiming for Strong Rally / Companies / Company Chart Analysis
Goldman Sachs (NYSE : GS) is one of the top 5 banks in USA and it’s stock is currently up $25% year-to-date. Last year, GS was on the edge of breaking its bullish trend which was established since 2009 but the bulls took over on the right time to re-establish the main path.
The stock created a bullish higher high sequence from December 2018 low aiming for a minimum target at equal legs area $239 -$252 which is currently supporting further rally in the coming few months as GS is close to break above July 2019 peak creating another bullish sequence. June & October lows are expected to hold during short term pullback to allow the stock to continue it’s uptrend aiming for a break higher above 2018 peak.
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Sunday, November 03, 2019
Is US Dollar Topping? / Currencies / US Dollar
The Fed’s monetary stance has turned 180 degree this year. Recall last year the Fed talked about shrinking the balance sheet on auto pilot and raising interest rate. The QT (Quantitative Tightening) of $50 billion a month, according to former Fed Chair Janet Yellen, should be boring like watching paint dry. By July this year, the $50 billion monthly rundown has ended. Instead, the Fed embarks in another balance sheet inflation to the tune of 60 billion a month. In mid-September, short term funding in repo market spiked to 10% from 2% overnight. This suggests stress in the financial system as some banks and financial institution can’t find necessary cash in the market. The Fed quickly points out this balance sheet expansion is different than asset purchase from years ago. Below is the chart of the Fed’s balance sheet. It has dropped steadily from 2017 and reverses higher this year.
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Sunday, November 03, 2019
Lifting the Entitlement Burden Through Increased Infrastructure Spending / Economics / Infrastructure
On Wednesday the US Federal Reserve cut interest rates for the third time this year, amid continued weak growth both domestically and globally.
The federal funds rate, the baseline for credit card and mortgage borrowing, dropped 25 basis points and is now between 1.5 and 1.75%.
Fed Chair Jerome Powell says the current interest rate levels are “likely to remain appropriate” (ie. on hold for the time being) to meet the Fed’s goal of 2% inflation.
Chairman Powell has been pressured for months by President Trump to continue slashing interest rates to help goose the American economy and keep North American stock markets on the boil.
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Saturday, November 02, 2019
Silver Trend Forecast 2019 Update / Commodities / Gold & Silver 2019
The Silver price soared during August as it played catch up to the Gold bull run, Silver peaking at a high of $ 19.75 early September before like Gold entering into a correction to a low of $16.94 late September and trending weakly higher during October to currently stand at $18.07, a 2 month trend similar to that of the gold price.
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Saturday, November 02, 2019
The #1 Reason the World’s Most Powerful Stock Is Crashing / Companies / Oil Companies
What’s the greatest company in history?
You could make a strong case for shopping disruptor Amazon (AMZN). Its stock has handed early investors 100,000% gains and counting.
Some will point to phone disruptor Apple (AAPL). It invented the iPhone—the most successful product in history—and was the world’s first trillion-dollar company.
Oil giant ExxonMobil (XOM) has to be in the mix too. While its stock has “only” handed investors 15X their money, Exxon has dominated in energy for half a century.
Saturday, November 02, 2019
Are Precious Metals Beginning Another Rally Attempt? / Commodities / Gold & Silver 2019
Recently, the US stock market rallied to new all-time highs which prompted an almost immediate celebration. A day later, the US stock markets reacted by setting up multiple top rotation patterns. The next day, a moderate price rally set up after the US Fed decreased rates by 25 basis points. The next day, the markets sold off dramatically with heavier volume – prompting the metals and the VIX to rally.
We’ve been warning for weeks that the US markets were setting up into a Pennant/Flag formation within a tightening range biased to the upside. See our index trend analysis signals here. We believe the move in precious metals today may be indicative of a breakout/breakdown move in the markets – near the apex of the pennant formation on the Gold chart, below.
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Saturday, November 02, 2019
Fed’s Own Forecasts Again Dead Wrong as QE4 Accelerates / Interest-Rates / Quantitative Easing
Precious metals markets enter November’s trading with bulls eying a potential year-end rally.
Gold and silver prices did manage to post gains on Wednesday and Thursday after the Federal Reserve announced a quarter point rate cut. But the Fed followed up its move with language suggesting interest rate policy is now on pause.
News Anchor #1: The Federal Reserve cut the benchmark rate by a quarter of a percentage point. It's now at 1.5% to 1.75%. The rate cuts come on a global slowdown; they say. Also muted inflation. Now the Fed does signal in this statement a pause for future rate cuts. The Federal Reserve statement changes the words from “act as appropriate” to “assess.”
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