Blind to the truth and naive to the threat.

The generations now and to come have evolved differently than ever before, they have adapted to the new technological super powers. Adults commonly ask their kids how to set up the DVD player, or fix the computer, add applications to their phone. The children who were born in this digital age are immune to the process of information, or what it took for so many to research a story or find information and learn or find the real story being told, the truth. Teacher’s friends and family is how and where we got answers to our questions growing up, and the answers could vary, the views bias and limited. The World Wide Web changed so much and quickly, adults and kids know the web and know just how to use it. Through trial and error along with lessons and guidance, most children have realized that not everything you see or read is true. The facts may not be how it is portrayed to the public or it could be blatantly inaccurate. They may have learned this from utube or watching a puppy fly though space while playing the banjo even Google by asking the web if eating road kill is good for you. They make the fatal mistake and show or tell someone “yes eating road kill makes you grow extra arms…then they are corrected and realize there are different answers that come up depending on who write it. It sinks in and they become aware all truth told may not be reality.

This enforces the key that makes us all unique… free will, our choice. We have a choice to believe what we are being told. This was something the powers that be predicted and this is how and why they are literally brain washing us through our subconscious. Since the beginning of time, we have been lied to by the “storytellers” lies on top of lies. Who was the first man in America, the world was flat, human sacrifice made the sun shine, credit is good, marijuana is bad, cigarettes, and liquors are good, etc. We at least know through modern technology the next generations will have a chance to experience real and true history, information that will shape them give them empathy through knowledge, not create the sheep so many have been thus far. This is of course if they make it past the many distractions produced that heavy detract from the path to enlightenment of true reality.

 The unknown, our imagination, creativity, fantasy, the extraordinary capabilities of the mind. Our mind is so powerful we have such a complex thought process fueled by hormones and the love of western medicine. Many marketing specialists and behavior analysts, doctors, scientist’s ands researchers have perfected playing into our fears, wants and needs or at least what we think we need. Our primal instincts, our responses, our necessities, and desires have been under attack though our own fear. Fear of threats to family, self, and home, our self-concept questioned induced by fear and intrigue as to what could be. Our human nature, our true thought process analyzed and TPTB preying on this. Media has created villains out of races, countries, cities, even stereotypes in people. This false threat and fear has shaped societies for thousands of centuries. We see it all over in history from the Mayans to Genghis Khan, as far back as c. 515 BC that we know of, “The Rise of Darius to The Persian Throne”, then “The Arthashasta” c.350-283 BC, and of course, the Romains used it c.59 BC - 17 AD, repeatedly. Now we have stars and icons to obsess over or try to be like, unrealistic lifestyles of the one percent. Movie stars that had/have more influence over the public opinions than most politicians or professors do in America, and may I add, get paid much more. 

We the nation… is completely media run and undereducated historically, even with all the new things to learn and accessibility, ideocrassy is the new normal and denial is a common trend in the US. History and economics, the global finances, how things are bought and sold, etc. Many people do not even know what is going on and never will, what sanctions America has put on Iran or Russia, or many other countries we are involved with politically and financially. It is not “entertaining” to know who we trade with or what will happen when Obama pushes through the Trans-Pacific Partnership, or if they do, it is because they saw it on “E” or some mid-day talk show, just because it was a wiki leak. 

I am always shocked to hear news casters blabbing about what is to come or focusing on the opposite way the market is moving, padding the pockets of TPTB. Everyone is titled to their own ideas and opinions in the US, right! Freedom! yet we are kept blind and distracted by media and some other catastrophe that detours the true threat from the masses. The public so naive in the belief that America has our best interest at heart and just because the facts show how wrong that statement is, the belief is everything will be alright. Because our government would never let it happen (said in a flamboyantly sarcastic tone), they would never do the unimaginable. 

Blind to the truth and naive to the threat. 

I cannot stand election year, listening to the pointless lies told by candidates fueled by power and money funded by expectations and greed. You may choose not to listen to it, not to vote, it is a choice. They say every vote counts, but I do not believe they even count the votes it is all predetermined. The powers that be (TPTB) the big Banker clan runs the government, so whoever big business wants to represent their ideals and choices is who will be represented as our leader. It is a shame; I still do not think everyone even realizes that government controls the news and Hollywood, all stations owned by six corporations. We have supreme power as individuals in our newly developed android state of existence. The SiFi movies and books from our past would have had you believe the twentieth century would have brought people driving freely from planet to planet in our space cars while teleporting our friends over. Perhaps robots would be our house cleaners, drivers and workers, a world would run by robots, all there to serve us, and make life better. People were afraid of jobs being taken away by robots replacing so many people. They should have been afraid of free trade. Then the benefits, robots fighting our wars and keeping our planet and humanity safe and clean. It is the twentith century now and we do we have robots and computers they are doing it all fighting with drones and cleaning our planet. Now most of all humans have become androids without an external robot. 

Everyone you know has a smart phone, it has become a true extension of our body and thoughts, giving us super-human powers and abilities like never before, and it even comes with applications that will consistently advance the droid in them. The access to information and power to learn now can be limitless. Having this kind of resource at your fingertips gives us an unimaginable advantage, it not only makes your life easier it gives us a way to learn what you want when you want. Most people will never take full advantage dipping into the abyss of information, the layers of networks, understand the programming involved or what engineering it takes to rapidly grow in this informative black hole. Amazing and life changing advancements have come from exploration in this digital world by some of the best minds in existence. Easy enough for anyone to learn to explore on it gives you the ability to learn at your pace. Imagine what its like for a baby or child introduced to it. The young brain growing and it learning how to teach, it evolving while their mind like a sponge soaking the liquid information up. We have not even learned what the mind is capable of or what results this new technology will have on a developing mind. Up until 1920 we did not even see infant children as humans, while Watson tested and electrocuted baby Albert to if they really felt pain and emotion. Now we know that babies can learn while in the womb. Knowledge is power. The power this vast amount of information provides and can give children is beautiful and somehow terrifying all in one. Information we learn throughout childhood shapes us as adults, information leads to the decisions you will make in life, rights and wrongs your ethics and morals. Those choices are influenced by what information is available, and where it’s coming from and how you receive it. All we know as humans is what we are taught; humankind is easily manipulated and prone to conform, our primal instincts though diluted by society remain in the sense to follow or lead. Between men and women, fighting for the lead and BPA and overly consumed soy pumping estrogen into us the leadership position is undesirable. Keeping the masses passive is beneficial for the shepherds, this way the public does not see the true grim reality that we are living in and facing.

  People keep stating that we are going back to the cold war, that Russia and China will create WW3. I have even fantasized the outline of it, the corruption in waging war with Iran and blaming Russia or China in the US fight for the petrodollar, convent a war in Yemen or an oil line bombing…yet, I feel that we have been in WW3 for some time now. It is a currency war, a war for the reserve currency and petrodollar, and we are losing. This is the first administration to prioritize immigration and non-working heath care over the blatant threats and geo political acts of war that are threatening us now, we are losing allies and all hope for what once was the American dream, as we stand by and witness this administrations wiping away our rights and giving our money away, creating slaves for the one percent.

Clinton was at least very concerned when Putin started building the underground bunkers in 2012 Moscow alone built over 5,000 nuclear bomb shelters and now Putin has built a 400 square mile shelter in the Southern Ural Mountains hidden inside the Yamantu Mountain in the Beloretsk region. It is approximately as big as Washington DC’s beltway, along with the food he has planned for his people and has been paying to guarantee that his people will be safe well fed and protected the facilities that could house most of Russia for years in comfort. The US has nothing like that, we do not have thousands of bomb shelters and foods for our people we do not even have food for our people, there is no exit strategy for the public. It is so sad because we the people are paying for the privet bunkers of one percent. I guess they assume we will all just die, a form of population control, perhaps.

 Lack of outdated weapons owned by Russia is a thing of the past. Putin created a new national defense facility in Moscow developing new anti-ballistic missiles to keep the nuclear missiles from reaching them in the first place it was said to be completed in 2017 but it is said to be active now. Again, the US has nothing like that in 1996 the Russian denied any existence of the bunkers and kept building despite the end of the cold war. In a rare interview in 1998 General Eugene Harbinger at the time he was the commander of the US strategic command (STRATCOM) said it was bigger than they thought it’s estimated to be millions of square feet, with a railroad and highway built to it, tens of thousands of workers have been working on it for years now. The US then saw this area along with China as a “”potential key target for US nuclear war planners stated in a Washington post article by Bruce G. Blair. Clinton at least saw that it is as a major issue. Russians do not love the US it is said as of today approximately 81% of Russians have a negative view towards the US, and now Obama’s interference with Ukraine has made it much worse. The house of representatives urged Obama to send lethal aid after stating that he would send non-lethal aid, however, the only way Obama would send lethal aid to Ukraine was if they issued a sovereign debt with US guarantee making it essentially part of the US the same thing he did in Egypt with the Muslim brotherhood that caused a (to put it nicely) a rift with our one ally Saudi Arabia. I cannot think of a past US president that would let other countries ostracize America the way it is now, or hate us the way they do. No other leader would let china the second largest economy open up the AIIB and invite all countries but two (we supposedly declined) or let Putin make deals for major changes with china India and Pakistan, even Saudi Arabia is selling gas to Russia and China in Yuan not the USD . When bush was in office, it was assumed he was not really making any decisions for himself. It did not matter who ever was making the decisions, they were the ones to fear, and countries did they feared us. We were the leader and the treat there security, ally and enemy all the same. It was understood Bush is goofy or just dumb nature was not what they needed to worry about, but at least they worried. The other counties respected him to some degree, unlike our current situation. Obama is about to make our final and biggest mistake with the Trans Pacific Partnership (TPP) it will make what Clinton did with free trade look like a May fair. I do question the whole thing because china wants no part in the TPP, and that is note worthy

 Clinton who I was all for, despite him being a corporatist, sabotaged us with the North American Free Trade Agreement (NAFTA) a trilateral trade block between Mexico, the US and Canada this was the first countries involved with the free trade agreement. If you don’t really know exactly what NAFTA is let me explain, NAFTA consists of the North American Agreement on Environmental cooperation (NAAEC) and the North American Agreement on Labor Cooperation (NAALC) this created the worlds largest free trade zone. Opening countries up to the flow of goods and services sounded so appealing, created production added different factor endowments and absolute advantage with the countries that could produce goods or services on a large scale or that had natural resources. Lower costs of production and cheaper resources also gave advantages and created an outsourcing of jobs. This was in 1994 since then the US economy has lost around 700,000 jobs due to NAFTA, according to the Economic Policy Institute EPI said in 2011 that trade to Mexico supported 791,000 and the jobs we would have needed without the NAFTA agreement would have been 1.47 million. Still today, billions of US dollars and jobs are lost to NAFTA. Yet, other counties saw huge benefits from NAFTA and in 2010; the growth of Mexican auto imports alone surpassed what they ever estimated, just to put it in perspective, it created more Mexican jobs than the entire US auto industry. Sine 1985 the US has free trade with over twenty countries as of now. Since it worked out so well the Obama administration negotiated the Trans-Pacific Partnership (TTP). We the little people only even know about it because of the wiki leak. Obama did not do it under the Department of State; he went straight to the trade representative Ron Kirk. This was the way to use “fast track authority” Congress is supposed to review, modify and treat it like a legislation and end with a two-thirds vote. Instead, it will have to be a yes or no vote, with minimal tame frame and a majority rule. This really will strip the US of any chance we had of real economic growth, true supply and demand, America will never be able to be what it once was. This gives investor privileges a whole new meaning. The right to move capital without any limits, and it covers way more goods and services extending to, intellectual property, permits, and derivatives. It banned any performance rights, and foreign firms would get compensation for loss of “future profits”. Most of all special guaranteed treatment for firms that relocate. The issues with medicine and patenting rights cancel out all hope for generic affordable pharmaceuticals so who cares about “free” healthcare if you cannot afford the solution. This would allow them to overrule our sovereignty adding US laws to foreign countries is completely unconstitutional.

I dream that our leaders know history and could embrace the fascinating and powerful counties together and could see each other with a heart and soul, empathetic to suffering and pain. They seem so human in their “tweets” (eye roll) so many have been praised by the public. Putin has been praised as being very likable, even funny and handsome, even japans prime minister is thought of as warm and kind, Obama funny and charismatic. I am sure social media plays a big part in humanizing the leaders, making them more likeable and relatable as the tweet there thoughts. Putin and has positioned himself out of necessity and frustration with sanctions by the US. He has looked to his neighbor china that has a quite similar past. XI Jin Ping signed a ten-year contract with Russia to build a 7,000-kilometer high-speed rail ink from Beijing to Moscow. It will be expanded across Europe and Asia, this is a big deal not only for the ten year partnership with China but the new Asia Infrastructure Investment bank (AIIB) that is taking place isolating the west. China is creating economic insurance with India, Pakistan, and Russia along with all others except The US, Japan, and North Korea. These moves taking place have to be aligned with something bigger. The US has to be up to something, a grand plan, would we really risk nationalization of a new currency at China’s control? Or let the Petro-Yuan take us out? I mean we have to know the end game…Right.

I would love to believe that these countries are as fed up with the US as I am. Sick of listening to the lies and barrage of underlying manipulation by TPTB. Other counties are tired of dealing with the mean parent America has become. We cannot mind our own business we keep popping up where we do not belong issuing sanctions and controls, at a whim. They have to be fed up, now that the revered America is being seen for what it is debt based and full of holes with a drowning economy and no hope in sight. The US was seen as a security for other countries inspiring to follow our lead, our freedom and rights the love of the people, and a government with a goal to make things better for each person, a financial system that saves your money and enhances your life insurance for your children’s children.

 I feel like I am at the end of wizard of OZ, American people represented by a loyal Dorothy, with values and hope searching for answers from OZ. OZ our leader a godlike entity, full of the answerers we are searching for. Searching for OZ to lead us and guide us, then you pull the Curtin back and all is revealed, TA DA its Gilbert Gottfried or even Rosanne Barr, and OZ is seen for what it is just a greedy human playing us all. Good witch as Elizabeth Warren and the bad witch Janette Yellen trying to actively screw over along our yellow credit fiat road we call. OZ does not care and when considering America is bankrupt in a pit of unplayable debt our OZ created for our children to inherit. The US government has pledged National parks and lands for the debt they create right to the FED. My land your land, non-profit organizations; federal territories, even birth certificates of people who will inherit wealth, all given to the Federal Reserve. The hypothecated assets pledged truly mean they can pledge something as a security without holding it. Roosevelt was declared bankrupt and insolvent in 1933 and created the Emerging Bankrupt Act, the beginning of the monetary fund. This is exactly what has led us to the massive debt were in today and always have been since 1933. When they removed the gold standard, things changed. The hypothecated pledge is based on what is called a Canon law Trust. It is protected by the Constitution and bill of rights and still used by international bankers today. This is a transfer of unplayable debt, and gives the sauvignon too much power, for they already own so much it is just leverage to them. Nothing like this ever took place until the Federal Reserve Act in 1913. It gave the people security at first, gold and silver were such a powerful currency, but heavy and an unmanageable daily, it was an awful inconvenience to store or carry such metals. The FED bears the risk lending or trading and you hold interest and principle payments by issuing a claim check that was “like gold or silver” so they created slips of paper. So now, you give real assets to The Federal Reserve (FED) and they give you Federal Reserve Notes (FRNs). FRNs were made to create debt through the devaluation of currency by the increase in fiat (money substitute). Without a corresponding increase of a true backing, the FRNs cause inflation. The FED is maritime lender/maritime insurance underwriter, or what I consider a loan shark, they take your assets and give you a piece of paper till you can pay the real unplayable debt back. If we only knew…They never cared about the debt the interest was enough. It was all a trick a power game and FED is still winning. You cant pay back the FRNs with FRNs, no paying debt with debt but as long as you paid the interest there was no stipulation on the principle, because the Federal Reserve Act stipulated all interest must be paid in gold.

We were set up to fail, who knows what our amazing, all for the people, freedom, and rights, blah blah blah government really is doing. Who knows just what they have pledged we know some but we do not know much. We are now just economic slave a nation built with blood and formed by lies and greed, pledging dedication and then turning its back. Photos and social media have humanized other cultures and acceptance and empathy makes it all less scary not so distant and unnatural, it gives new support for what was once feared .This has brought our world closer. A need for each other together, learning the whole story not half-truths that are rewritten time and again. Can we come together and fight a real war like global warming or famine drought? The answer is no because as much as I would love to believe we can have peace, greed trumps all.

Litmus test

This week has proved to be one of the most jaw dropping and thought provoking weeks for myself. Last year I wrote about the direction of the USD on a geopolitical scale, my thoughts on Russia, China, and Iran not what we see or hear on the censored news or some crazy outlandish one sided conspiracy site.  I have tried to be neutral and non-bias (hard to do) my opinions are however backed by real facts and my attitude towards society and government, banks and corporations justified.

            Let me begin by stating the obvious that I am concerned about…Did no one see the Russian Ruble and Chinese Renminbi as a pair in the currency futures trading!  Putin has been on a massive de-dollarization campaign since he left the petro dollar last year.  His meetings with heads of countries like China and Iran along with many others including North Korea sparked my interest as he spend a large percent buying up massive amounts of gold from the Shanghai Bank instead of saving the Ruble as oil fell.

America is being  marginalized.  While the American President has been reforming immigration and healthcare, he has been in complete denial in regards to pissing Putin off and making more enemies than any other president known.  Our allies are disappointed and now China and Russia are teaming up and let us not forget whom we are going up ageist.  I wrote last year the Putin was putting a team together and now we see this all coming together as conflict in Yemen grows Iran and Syria seem to be looking to Putin as not only a new partner but as a major solution. With all the chaos and team antics that Putin is up to between the US president and the real people running things the US bank Cartel they will not let the USD fall this week for fear that it will show weakness. Even though generally we see the correlation between the USD and oil, I don’t feel this time we will, price manipulation trumps all in times like this

Bubblicious

Governments unlike the big banks and the Federal Reserve do not have the luxury of keeping the bank scheme continuing as long as they can anymore, factors that once padded the same pockets is now harder to manipulate to benefits all parties involved. Government has elections to face, the voters with new links to real facts and information and media influence run by government. Many big businesses believe that half of anything is better than nothing at all, even just the idea that you can save or gain can be enough, the illusion that you may still have control over your money can be attractive to anyone. This is just what is happening with the big banks trying to salvage and preserve any of the actual asset debt by deflating the fiat debt, with derivatives and swaps, this ongoing process has create a global bond bubble bigger than we have ever seen. This is the compromise to avert the disaster looming, the paper millionaires will be the fist to feel it after the banks. The loss of their gains that were never real to begin with will be appeased by banks reducing their debts and the feeling of them "gaining" will pacify the real loss of all. The real question is what will cause the collapse in the global economy, inflation or deflation?
The biggest credit bubble is on the verge of bursting and we all know that the results will change the world forever. Governments used to love inflation because they are for the most part the "borrowers" so they can pay back the borrowed money far into the future with inflated money. Banks on the other hand used to hate inflation when they actually had to hold on to the loans they made now they pack and sell off the loans they make with little to no regard for the default rate or logistics of the details. The natural outcome would have been deflation from the banking crisis of 2008 , it would have lead to real business growth for the small majority, yet it would have cost the established powers that be their christmas bonuses or positions. The powers that be (TPTB) cannot have that. The complete asset forfeiture crash in 2008 was avoided by a hand out, half of our world's money given to banks, this has created a negative tenue within government and banks. This cycle we are seeing deflation then inflation only occurs when you are dealing with debt based fiat money. The banks are not any better than the cartel or drug dealers handing the ignorant a bag or a lifestyle (debt) and you are in it, stuck with it for life with no way out.
really it is disinflation, then stagnation, followed by deflation, then you get inflation across the nation, looms a dangerous fixation, with a finale of hyperinflation.
The Federal Reserve (FED) has an agenda and that is devaluing the US dollar. The FED has told us time and time again that inflation is good for the economy. Now the head of the FED Janet Yellen is admitting that deflation will be a positive thing for the economy. However, the Debt deflation is the FEDs worst nightmare,because the truth is that the economy is not what Yellen is concerned with. The real concern is the bonds interest rates, the $191 trillion that Wall St. banks and U.S. have in derivative trades. The obsession the FED has creating inflation allows government spending without going bankrupt and debt deflation would for sure wipe out big banks and the U.S. altogether. The main focus is to keep interest rates to be low as possible because a slight rise even one percent means hundreds of billions more added on to the already massive payments of U.S. debt.
Miss priced assets have lead to multiple markets manipulated by what we think has value. Possession is law and fraud is the status quo now. Banks insured by the FED, with the extensions of the commodities clauses that the Dodd and Frank Act has enabled the banks to gain control profitably. Supply and demand, the general order of human innovation, increasing productivity and the real assets that can be bought and sold and we wont really see deflation even though it is there with the things we need because those things are real, like food and medicine, unlike the swaps and derivative that are truly phony assets. There has never been a solution to scarcity, not monetary, fiscal, economic or political. Currencies can and have died, the scary thing is this time it is on a global scale. Death of our currency is close but it wont just die quickly. It will be a horrific struggle with massive denial and a fight to the death. Most people are earning half of the loans they owe. Loans for houses or cars that are three times what they are worth. People have more money in debt than in savings it is just a matter of time before people see that fiat currency is merely currency, not real value or money. For a while, currency will have increased buying power then people will start to get it and see it is being inflated, then the currency will collapse in buying power, while the buying power of money will be maintained. The only way to get ahead is to ride it out you buy into deflation and ride out the inflation.

It is all Greek to me.

      Just because you read it, see it or feel it, doesn’t mean it is real or you understand it.  I have been horrified how the media sways the opinions of people and the market with inaccurate or misleading information.  The whole Eurozone and Greek fiasco has been consuming headlines for months and now is postponed until March.  I have found most of the information and publicity I have seen and heard is swayed and bias.  The information varies from one extreme side to the other; how the Greeks are lazy and spent more than they brought in, they never enforce or paid taxes or they just want to blame the banks, they should suffer, they already were bailed out once.  Greece may have been irresponsible, but the banks funded that irresponsibility, knowing Greece was totally bankrupt...  The media is making it seem like Greece is snubbing The German taxpayer who is extending a hand just trying to help. The understanding of the language used is what needs to be clear to people reading about all of this as to what exactly the bailout entails.

The Greeks are upset because what they are rejecting is a loan not a bailout, the term “bailout” is misleading on so many levels. A “Bailout” is actually referring to the banks, unless they are bailing out payments to Greek banks.  It is not Greece itself or its economy, the money involved in the “bailout” will not help Greece.  It will be used to bail out bad banks.  Unfortunately, Greece is just a cover for the money transfer.  Just to be clear what happened to the “loans” the last time, ninety-two percent went directly to banks, six percent went to government, and only two percent went back to the Greek people.  The Greek people are the victims of the banker cartel who is immune to any and all consequences with their actions and funded Greece without effective collateral, knowing the credit risk and dumped funds into it anyway, just socializing the loses to the taxpayers.

 The real problem to the Euro group is how any changes they make will affect the global derivatives market. The derivatives market holds roughly seven hundred trillion dollars, ten times the size of the world (GDP) it includes bonds from many different countries, even bankrupt countries, like Greece.  The entire western financial system has sovereign bonds from other counties.  Sovereign bonds are seen as a “risk free” asset when considering the risk the chances a company will go belly up is way more risk than a whole country going belly up. The banks have to consider what happens to the trades made using Greek sovereign bonds.  Many factors have to be looked at by both sides; one thing not mentioned much is the most important thing, collateral.  The primary collateral underlying all of these trades is Greece.  Sovereign bonds are the senior most assets pledged as collateral for the trillions dollars worth of trades.  The bondholders will be affected most by the decisions made.  Just how and how much they will be affected is the real question.  The last bail out was for the Euro banks that held Greek bonds as collateral.  This is not about helping and restricting the Greek economy; it’s all about the Euro group and banks the collateral and maintaining the balance sheet to avoid taking a loss.

 To make the situation and language clear, to the people of Europe, the Greeks have spoken at the Tour of Europe to correct misleading information and terminology of just what they are asking for and what the Euro group is offering.  Greece and Germany are using non-communication “communication” the resolution is not close.  Now Washington has stuck its nose in to the Business between Greece and the Euro group “urging a compromise” this has been by the US Treasury secretary, Jacob Lew.  Ironic that the United States can even speak on the debt with America eight-teen trillion dollars in debt.

 They want Greece to leave their policies behind and pay back the debt they owe.  This of course is not going to happen.  Why would Greece pay it back even if it could when every country has debt in one way or another and they are not expected to pay up the hundred percent in debt they owe (US).  Greece is just a few years ahead of the rest of the world.  The numbers the Euro group is asking for will be impossible for Greece to pay back.  Can we even believe the numbers that they are giving us?  The numbers are calculated by the same system that was used to get Greece approved into the Euro. We saw those numbers, they were completely fraudulent.  How can we blame anyone or take sides?  The central banking system has everyone believing that money is free, and now feel entitled to it.  There maybe “no risk” in the central banking system, but now there is no value.  The bankruptcy and austerity are now inevitable for many counties.  This has all been a game, a play executed by best-organized gangs of criminals, our world’s biggest gangsters, the banksters.  They are who effectively control the biggest forms of organized crime…the government.  All we can do is sit back and watch, while poor Spain and Italy, watching, and thinking, saying, “We’re next”

Germany is doing all of this the worst way they can.  They are pushing the decision back to March giving Russia and China time to set up a fund for Greece, which would be a huge game changer.  I am sure the Eurozone ego would never see Greece joining Russia as part of its master plan.  Spring tends to be Europe’s protesting months, and civilization cannot survive on run theft ethics.  The Euro group has most likely already dumped Greek bonds on pension funds long before now.  The only reason Greece would repay is to give the Eurozone citizens reassurance that they haven’t just been robbed.  Default maybe the only answer; it is immoral to ask future generations to pay debts they did not incur.  .  The real problem ultimately is the fact, that to a central bank you are the collateral.

This could this just be a step closer to achieving a global currency deemed as the only legal tender by the IMF.  They all know the eventual inevitability, with their Madoff-scheme debt-based monetary system.  We as individuals will have to change the system ourselves and open our eyes. The change will require more than merely recognizing the social facts about central banks; we have to profoundly change paradigms that will be necessary to perceive those central banksters facts in radically different ways.  Then you will have a chance of formulating real solutions to the endless cycle of treacherous usury that is the banking system.  The global bond bubble is still going to burst; when it does, it will make the last crisis look like a cartoon.  Let us not overlook the Euro banks as a whole are leveraged at twenty-six to one.

Just for your own information…The Financial Crisis Inquiry Commission (FCIC) Report states on page.  48

The CFMA effectively shielded OTC derivatives from virtually all regulation or oversight.  Subsequently, other laws enabled the expansion of the market.  For example, under a 2005 amendment to the bankruptcy laws, derivatives counterparties were given the advantage over other creditors of being able to immediately terminate their contracts and seize collateral at the time of bankruptcy.

Out of Control

The ever-looming Grexit decision has created weakness and uncertainty in the Euro and the Central Banker's have been planning just what to do next and what limited options they have. The other currencies can benefit from the decision one way or another, one alone would benefit the most the Swiss Franc (CHF). If Greece exits the Euro (EUR) Switzerland would have billions of fresh capital that would need a safe place, that it wont be denominated into Greece's new or old Lira, Peseta or Drachma. One thing is for sure, the Swiss will do whatever it takes to benefit them in the long run. The CEO of Zuercher Cantonal Bank, Martin Scholl has said "anything is possible" when asked the question if they were going to implement capital controls or lower the already negative interest rates. Capital controls limit the flow of foreign capital in a domestic economy. This flow in and out of capital affects Forex, bond, equities and overall market based forces. Control over the flow in and out of an economy can be seen as positive or negative and has been a subject of much debate. The foreign capital includes tariffs, taxes, outright legislation and volume. Many have strong opinions on just how this can affect the economy overall. Economy's open to foreign capital give large companies easier access and the overall demand for domestic stocks can rise a great deal. Some think it can limit the efficiency and economic process, tight capital controls in developing counties are common. The integration of financial markets along with other global factors have contributed to the easing of controls, yet the Swiss are saying this is a option. Central banks all over the world are blowing up with liquidity, what choice does a independent Central Bank have other than limiting their own currency's convertibility? They have an obligation to protect their country's currency from the coming currency crap-storms, and they will do whatever it takes.
The Swiss don't really have any commodities so they import them in U.S. dollars (USD) or in Euros (EUR) so they are striving to lower their currency even though they are in a healthy position with good demand for their currency. Capital controls are control of money and that just leads to control of people, the banks are feeling as though they are losing control over the money and the people. This is a big problem and the SNB will have to make some major decisions before the grexit.
The Swiss have been open with their plans and generally give a great deal when it comes to their next moves and strive in maintaining their independence. They were not so forthcoming when they ended the cap, in fact they made statements that would make people think they never would end it. Because of this many think they have lost their well established credibility. The Central Bank had stated that "The minimum exchange rate must remain" just two days before ending the CHF cap, that caused a black swan event within the market. Huge currency swings like that make trading highly problematic, and fear moves the market the most. People are veering from unstable currencies, however the CHF is a historically "safe" currency. Normally capital controls are implemented to prevent a massive outflow of capital not a inflow, in turn this would seem that the National Bank (SNB) could be worried about a collapse in the CHF or the other way around they thought that a strong currency would hurt exports.
The currency war is accelerating. Central banks, like all decision makers have a range of options. The SNB (one Friday afternoon on a bank holiday weekend) may just impose negative interest rates to a level that forces bank runs then order capital controls to lock everyone out of getting their money, highly doubtful. The discussion of imposing negative rates is a clear sign that the borrowing entity is bankrupt. The SNB has not stated that they will impose the negative interest rates or capital control. However, when you say you're not considering something at the moment, that seems to imply that you might consider it in the future. Most people in the U.S. pay with plastic not cash , in Europe more cash is used. We may soon have to bank at home , it will be the only safe place for your money. The banker cartel's worst fear is that we will take the money printing press away from them and no longer support digital and fiat.

Don't Burst my Bubble

“There is no means of avoiding the final collapse of a boom brought about by credit expansion.  The alternative is only whether the crisis should come sooner as the result of voluntary abandonment of further credit expansion, or later as the final and total catastrophe of the currency involved.”  ~ Ludwig Von Mises

The United States is now based on debt; this perpetual debt has come from the promotion of wealth and financial security.  Some may say that consumers and borrowers were coaxed into the borrowing to expand growth in our economy by spending.  We saw the outcome of debt and mass loans can do in 2008.  In 1999 through 2005, the housing market was up trending and the federal National Mortgage Association (Fannie Mae) wanted to make buying a home more accessible to everyone.  In 1977, The Community Reinvestment Act gave strong incentives to lenders who would loan money to low-income borrowers expanding the role of bankers to loan sales men.  In 1980, the Monetary Control Act Deregulation made it so lenders could change the interest rate depending on the borrower's credit score, the lower the score the higher the rate, unfortunately a low score is a sign of debt or non-consistent income. In 1982, The Alternative Mortgage Transaction Parity Act gave way to balloon payments making a final payment much higher than original payments and Variable Interest Rates Loans, a loan that fluctuates over time.  Then in 1986, The Tax Reform Act that lowered the top tax rate and raised the bottom, it was the first time in income tax history and gave back substantially if you bought a home.  All of these Acts were to entice home buyers who could not truly afford a home.

 This gave way to a real problem called Sub-prime lending.  In 1999, the sub-prime loan mortgage market exploded and anyone with bad credit, no credit, low income, no income could get a loan.  Sub-prime loans are primarily used to finance mortgages that Prime loan qualifications cannot meet.  This added nine million people to the ranks of home ownership, more than half were minorities.  The people were uneducated about the loans and the consequences that could take place.  The sub-prime loans offered are expensive and have major penalties and higher interest rates that can make the payments overwhelming as the rate increases.  The people knew little about the mechanism of a sub-prime loan, and eagerly singed papers to fulfill their dream of home ownership.  The worst mortgages were offered to the least qualified, Adjustable Rate Mortgages (ARMs) like interest only or payment option ARMs would reset after one to two years, then change weekly or monthly. As the increase in borrowers flooded the market, the home equity was rising and the borrower would sell or refinance before the rates would adjust, at least that is what the banks would convince you of while you were signing. They knew what they were doing.

The Federal Reserve lowered the Federal funds rate 11 times, from 6.5% in May 2000 to 1.75% in December 2001. This created a flood of liquidity and growth in the economy and other lending markets. The Securities Exchange Commission (SEC) relaxed the net capital that freed them to leverage up to 30, even 40 times their initial investment in 2004.  Goldman Sachs (GS) The Lehman Brothers, Bear Stearns, Merrill Lynch (MER), and Morgan Stanley (MS) all acquired new lenders; including Sub-prime, lenders securing trillions of dollars in mortgage backed securities and saw bigger profits than expected for years.  In return the stocks kept rising.  The FED began raising its rates up to 5.25 percent.

As people became aware of the downfalls the loans held, the horror stories were airing on every headline creating panic and people stopped buying and started defaulting on their loans.  The lenders of the sub-prime loans were filing for bankruptcy weekly, in February of 2007 over twenty-five companies filed for bankruptcy.  The news spread like a wildfire.  The degree of leverage by the large companies could no longer be supported and they “broke the buck” by creating capital risk with leverage.  Many investment firms were unable to cover the credit derivative contracts.  They halted the sales of short sells trying to stabilize the market, but it was too late.  The panic and uncertainty spread in to the interbank market and they needed to prevent it from becoming a global catastrophe.  The government then had to issue bailout programs with help from the European Union and Japan and other central banks came together using conventional and unconventional methods to provide liquidity support to the institutions.  The Fed cut rates along with the CB, Sweden, China, Canada, Switzerland, and The European Central Bank.  It was not enough.  Each with their own versions of bailout packages, outright nationalization government guarantees, and finally The U.S. came out with The National Economic Stabilization Act buying up billions of distressed assets.

We still have seen the effects of the bubble that burst in the mortgage market; the market has not fully recovered and may never.  Economic cycles that are manipulated though the monetary expansion, this debt can create a large bubble, much larger than the natural cycle would hold.  With that, larger bubble will come much larger consequences; right now, the magnitude of this bubble we are facing in 2015 is bigger than it’s ever been in history.  Since 2008, the Central banks (CB) and Federal Reserve (FED) removed collateral from the markets that were high quality.  The American people and government are even more leveraged out against even smaller quality assets paying a much higher price than they ever were in 2007. The Wall Street Journal came out with an estimate that states “a third of traders have never or will witness a rate hike” this era has driving a rise in leverage.  Chain reaction leading to the collapse has been set in motion for some time now.

The U.S. Treasuries has a rate of return that is considered “risk free” rate of return that is the assets that all assets are priced based on riskiness.  The rate has been falling for over twenty-five years.  These falling rates then spread to other rates of return making investors barrow or turn to leverage to gain a higher return.  While the past thirty years, we have seen investing risk getting cheaper because the bull market those bonds have been in.  This time it will be much different the crash will be all assets worldwide and it will happen simultaneously to devastate huge segments of the global population.  The Fed can keep printing money until they own all the publicly traded companies and we all end up working for the FED or government.  The powers that be like the major investment institutes, CB the FED whose actions have perpetuated and continue to exacerbate the bubble, know just what the outcome of their actions and decisions will be.  The European Central Bank, The World bank along with The International Monetary Fund (IMF) all understand and have understood just what this next massive credit bubble and most large corporations wont be hurt by the outcome.  They know they have laid the groundwork for it and in some way, they will profit from it in the end.  The bubble will only hurt the public and again their personal savings accounts will be drained in the bailout funded by hard working middle class, until they have, nothing left to contribute it will be for the good of the nation, of course.

American Psycho, coming to a government near you!

 

     The last man standing could be the new theme for our global leaders as we witness our alias and enemies destroy each other.  Most men would take a beating once or twice verses being a slave for life.  Most of the governments globally are slaves, slaves to the banker cartel looking for anyway out from the grips they hold on each country’s destiny.  Now we are slaves to technology, and media as a whole by the large corporations, banks intelligence agencies, and such.  We would love the idea that our people and economy will be saved, saved by our next leader or government.  This is also the premise of fairy tales and they too do not exist.  Our world is motivated by money and power, bailouts, loans, all free money they don’t care about the restructure of economy or government.  We are brainwashed and persuaded to believe that our vote and what happens in our world still counts when it does not even matter at all.  The economic model of our world is broken; our economic and political systems are not working.  In the US, our financial system is leveraged out much than in 2008. Yet our “leader” is still convincing us that we are doing better than ever.  Our true reality is that most of our world leaders we know and see are just the pawns and do not have any control over the “masters” playing the game.  Hope is a strange thing and really that is all you have… nothing else is on the table for us.  Our world is being run by an anonymous dictatorship, with obvious dictatorial traits.  The people our leaders represent have little or nothing at all; in common, they are not even the one percent.  Do you really think that they are fighting for the masses? The UN, NATO, IMF, FED, or the World Bank are fighting for themselves and power, not us and the economy.  They are fighting for supreme power, draining every source and growing more powerful.

            Power is a complicated thing. In Physics power is defined as the rate of doing work equivalent to the amount of energy consumed per unit of time.  Power itself is defined as the ability to act on, with the capability of doing or accomplishing something. The fact is, Power is so attractive that many people can and will be completely influenced by the attractiveness of it.  The ability to do, control, command, and sustain it, are all aspects of power.  Women are proven much more attracted to powerful men and are generally unaware of the power enticement correlation.  Beyond the power attraction lays a deeper oddity. What other kind of people power attracts.  In the business world, we have found most powerful jobs will attract a specific kind of individual, they are called psychopaths and sociopaths.  Many studies have proven this over and over again. It is scary to think that one out of every two hundred humans is a psychopath. Most psychopaths have no idea they have anything wrong with them at all and will never seek help. Forbes did an article once on the top ten jobs that attract psychopaths, very disturbing but it makes sense.  Most were all power positions with out need for empathy. This does not mean that one of every two hundred people will go on a killing spree or have disturbing remains in their freezer.  It just means that they lack empathy or emotions with a antisocial behavior, but all have complete disregard for anyone else but themselves.  It is a personality disorder that makes it so scary not just a lack of empathy, they tend to have a superficial charm with egocentric behavior, they are highly persuasive and just love and feed off power. Perhaps those jobs can even create psychopaths. The question is how many are in power of us on a global scale? All of them.

Bring on the CORRECTIONS

Cause and effect is the basis of all currency trading.  Currency exchange is supply and demand; fundamental analysis that examines economic factors can help determine supply and demand.  You could spend years even decades learning all there is to know about Forex trading.  You can apprentice “all knowing traders” dump money into technical systems, apps, and lessons.  The best education is experience, if by chance (you will), you do come across the “all knowing trader” run the other way.  A good trader is a humble one; they have made bad calls and lost a lot and also made great moves and gained.  A humble trader will have more respect for the Forex market, including the individuals that follow their own way and want to learn all they can.  The Forex market is a combination of corporate and private traders using different strategies, looking at different pieces of data that sway their moves.  With more than eight major currencies and at least seventeen derivatives available for trading at any given time, finding the right information that will work for your strategy is key.  More than seven pieces of vital information is released daily, regarding the eight major currencies.  This information can be about the country’s  inflation, deflation, trade balance, payroll, production, sales, or banks.  Specific information can be much more important and move the market causing high, medium, or low volatility.  We can download many different types of economic calendars that highlight all of these aspects even what the rate the volatility will be upon the reports release.  Timing is also another thing to consider.  The time when the information is released in another country can create a trend quickly causing momentum unable to sustain even the right moves.  Even if you do your research, the risk of reversal is high due to the volatility. 

            U.S. economic releases are looked at the most since the USD is involved with 90% of all trades. Unfortunately, the United States focuses on corruption everywhere but America.  The correction in the reports will come regardless of what they report now.  If you are not one of the sheep believing that the economic data reports are accurate, you can predict what the outcome of those reports will be.The real indicator is price.You can listen to the rumors or buy and sell fact.  Focusing on too much on news, propaganda, and fundamentals can damage your performance.The major players are not concerned with the facts or reports based on what they want to happen.

 It is important to watch how the market is moving and just what information is making an impact.  What factors move the market? I mentioned before Fundamental analysis, the study of economic factors that influence the Forex market. Technical analysis on the other hand predicts patterns, studying price levels, volume, and then forecasting the pair and what direction they will move.  Information is the key, and your own knowledge is truly power you have. Unfortunately, the United States focuses on corruption everywhere but America.If you are not one of the sheep believing that the economic data reports are accurate, you can predict what the outcome of those reports will be.  If you are one or know one of the major players on Wall Street you may be able to gain your own what they call a “Whisper Number” this number is the earnings per share (EPS) unpublished and unreleased forecast.  These numbers are much more regulated and confidential now days.  However, major corporations and the extremely wealthy still get tips here and there.  You can also generate your very own Whisper Number, just by your own research, information, company financials, and market trends.  You can even use instinct or gut feelings when it differs from the consensus forecast you can set your trades appropriately to gain an edge.  Forex trading is not based on logic, it is primary a price action strategy, gauging the directional future of the market.  You should definitely incorporate all the information given to position yourself correctly.

 A study on just how long information from the news affects the market was done by Martin D. D. Evans and Richard K. Lyons in 2004.  It showed that it takes hours if not days to absorb the effect on returns and order flow, it generally occurs in the first or second day and really pronounced by the third day lingering till the forth day.  This study was also done in 2004.  Technological advancements and instant data are much more accessible.  You can see the effect happen quickly looking at the volatility.  Volatility is crucial to understanding the way the market moves.  How much a pair moves by the minute, hourly, daily, and long volatility vary drastically?  Monitoring the volatility is constant, and can tell you how you should be trading.  Volatility is much more useful when measured by the fundamental and technical analysis.  Conditional bias will happen, politics, and other elements will throw off any predictions they have. Developing your own strategy is the key to achieve or sustain profitable trades.

Blogger: Adrienne DeMarco 

The allure of self-confidence (jpy)

     Hello,
As awaited the Japanese news was released and helped our trades. Usd/Jpy didn't move immediately in our direction, but sometimes moves play out over the course of a few hours as traders figure out what they want to do and the manipulators have chance to run those positions.
     Japanese purchasing of foreign bonds had increased from 44.2bln yen to 675.2bln yen, foreign stocks had increased from 382.1bln yen to 457.9bln yen. As for their purchasing of Japanese bonds, that dropped from 236.3bln yen to 70.2bln yen. Purchasing of Japanese stocks dropped from 464.8bln yen to 104.bln yen. Wow! the purchasing of foreign bonds increased +1428%. That blows me away, and the purchasing of domestic bonds and stocks fell an average of -74%. In a simplistic view of this, a layman's view, I would say this shows their doubt in the stability of their economy. I haven't delved too deep into the structure of their finances, so they could be balancing it all out in some way, but as for trading it on a time frame of a couple days, I think most traders are looking at the currency the way I stated. From the time of this economic news, the Usd/Jpy has moved up about +0.17% as I type this. The pair also seems to be unable to find a direction and wants to oscillate back and forth across the 117.45, ranging between 117.10 to 117.70
     For tomorrow we have non-farm payrolls and unemployment, so we'll go ahead and hold to see what happens then.

Have a good evening and good luck,
Professor Chaney

Usd/Jpy long, round 2

Hello and good day traders!
Previous trades were closed a couple of days ago for an overall gain. The Aud/Jpy and Usd/jpy were the two positions that refused to return a profit, which is more than ok considering our long Eur/Chf, Gbp/Chf and Usd/chf trades turned out so well.
This week Usd/jpy once again met all my parameters to go long and once again we seem to be bouncing around in a range testing and bouncing off resistance at 117,25. This trade has been bouncing around from negative -0.30% to +0.30%, negative, than back again. At this point I'll be happy if it just breaks even or better yet I can get out a few ticks up. Yeah I know this is how currency moves, but it's one thing to bounce around in a profit or loss and another to bounce around from loss to gain than back and forth.
In about 35 minutes, some economic data is being released for japan and with 2 of our 3 trade parameters still being met, hopefully this will give Usd/Jpy the push up we need until we get out in a couple days, when our exit parameters are met.
The data coming out is as follows.
:JPY Japan Buying Foreign Bonds (Yen) (JAN 30) previous ¥45.6B -medium importance
:JPY Japan Buying Foreign Stocks (Yen) (JAN 30) previous ¥382.1B -medium importance
:JPY Foreign Buying Japan Bonds (Yen) (JAN 30) previous ¥237.5B -low importance
:JPY Foreign Buying Japan Stocks (Yen) (JAN 30) previous ¥466.9B -low importance
About 1 hour and 40 minutes later the following is happening.
:JPY BOJ Iwata Gives Speech and Hold a Press Conference -low importance

...Will catch you on the other side, good luck!!

IPA $67 keg..... OIL $50 and below

People have been speculating for some time about the true underlying reasons as to why and how the oil l price has been declining and where it will go. We have the Saudi's stating that we will never see $100 a barrel of oil again. Then we have the Secretary General Abdell El-Bardri saying that oil will climb up to $200 a barrel.
The Saudi's have been lowering prices to cripple the American fracking rigs. Its working, North Dakota as well as all other minor fracking Fields across the U.S. are shutting down. Manipulation to put America's production on halt could be OPEC's doing. It is like Wal-mart vs. mom and pop stores if you can wipe out all the small stores then you can reign supreme because you are the monopoly. It took over six months for many oil and fracking companies just to turn off the tap even though they saw the demand decreasing and prices plummeting. Most if not all these companies will never be able start up again because its all leveraged out with junk bonds. The lack of investors will make it impossible to open the way it was. The population is growing, that means demand for food and other conveniences such as oil and energy will grow regardless. It is estimated that by 2030 China's demand for oil will increase 600%, even though demand is low now it may not be soon enough.
Many theories are on the table, I personally see this as economic war. The U.S. is driving the price down in targeted countries Russia, Venezuela and Iran. These counties will soon be replaced with pro-westerns leaders, most likely by the Obama Administration. Putin, Maduro and Rouhanie are on the United States "blacklist". Putin is a major target, he has the will and drive to assert their *sovereignty*. He supports Assad because he was freely elected. However he opposes Islamic fundamentalism. Other nations bow under America's drone bombs and trade agreements, like China has been doing. The world buckles under the "extra-sovereign" companies like Monsanto and Apple. On the other side of this onslaught is really just one man, Putin. There's a second guy in Greece, but the powers that be will make sure he doest have a leg to stand on.

Positions update.

Current positions update.
It's now Wednesday and positions have continued with our directional bias, Up. To over view our positions, we are holding the following positions all longs (buys). Aud/jpy, Eur/chf, Gbp/chf, Gbp/jpy, Usd/chf, and Usd/jpy. The Aud/jpy and Usd/jpy positions have retracted some since there ultimate high, but the Swiss Franc associated trades that we sold it against have more than made up for the strength of Japanese Yen (jpy). I could get into some macro fundamental breakdown of why the pairs are moving in the way that is playing out, but trading it on a shorter time frame of positions being held for only days, I think the technical aspect is more relevant and I don't really have it in me to come up with some fundamental bs today. Instead we'll just go over some facts about the trades.
     The Eur/chf pair had originally sold off about -18%, our trade in that has moved up about +3.3%. Our Gbp/chf trade is up about +3.6%, that had sold off some -15% since the Swiss National Bank (SNB) removal of the Eur/chf $1.20 support barrier. Usd/chf is at +2.6% rebound from it's -14% sell off. Where are these going to end up you may ask? Beats me, my guess is we will probably hold close to the current levels with a possible testing of the high water marks from earlier this week. Both the Eur/chf and Gbp/chf reached up over a +4% rebound before settling back down to where they are currently. The Japanese yen trades have completely evaporated their gains and the Aud/jpy, Usd/jpy pairs are now posting a loss.
     In one hour and 40 minutes Japanese retail sales are being released for year on year (y/y), so hopefully this will help out positions. Later at midnight my time, Great Britain national house prices month on month (m/m) are being released. Two hours after that German unemployment change and rate will be released, this could help out our Eur/chf trade, so of course we'll be praying for the best outcome.

That's all I got for right now, good luck.
Professor Chaney

Count Drag-hiu-la "He wants to suck your bond"

The Central Banks evaluating, planning and the decision making process has not been working so far, they have lost sight of the peoples need and expectations. The new normal is Central Banks exporting deflation to on another by printing money, to buy financial assets including sovereign bonds. While the amount of eligible collateral is becoming scarce. Where are the days of practical supply and demand? In the early 2000's Japan was the first to do this, at the height of crisis and it was too late, we are seeing the deflation outcome of mass bond buying in Japan. The main effect is on the currency it ruins and the exchange rate. Just like Japan the ECB may have been too late.
As the European Central Bank (ECB) announced that 1 trillion in Quantitative Easing (QE) will be the only answer to the lagging economy and Euro crisis within the Euro zone. Fundamentally if an economy has the potential for recovery, they leave the interest rates alone. The economy has been unable to reach sustainable growth, they are dependent on exports, so they also have to make sure the Euro does not gain excess strength adding risk to the export market. The QE starts march 1st, with the rate the Euro is dropping it wont be soon enough. The Euro debt is too large to just sit on, unexpected events or risk looming, so much can take place until QE starts.
Mario Draghi who has been the President of the ECB since 2011 when he replaced Jean-Claude Trichet, has been vigorous in convincing the ECB members that QE is the only answer. Draghi who was named by Forbes as the eighth most powerful person in the world, has a resume of a conspiracy writers dream. He is a member of the Group of Thirty (G30) consisting of privet, Central and major bank heads and even some former Central Bank heads from Brazil, Japan, Italy, Argentina, India, Israel, Italy, Mexico, Poland, Singapore, Spain, Canada, Britain, France and Switzerland. Stuart P.M. Mackintosh, Jacob Frenkel, and Paul Volcker along with two Chairmen from the ECB and two chairmen from the New York Federal Reserve, members from international and academia institutions, even a chief economist of the World Bank. It continuous with a chairmen of the Bank for International Settlements, two chief economists from the International Monetary Fund and a chairman of the Basel Committee on Banking supervision. The G30,s chairmen is Draghi predecessor Jean-Claude Trichet. The group started as the Bellagio Group in 1963 by a Austrian economist Fritz Machlup who wanted to investigate the balance of payments crisis and currency problems in the 1960,s. In 1978 Geoffrey Bell started the G30 after a invitation from the Rockefeller Foundation who gave the initial funding to start the G30. If the connections to Rockefeller was not enough Draghi was also the managing director and chairman of Goldman Sachs. One may think this to be a major conflict of interest since he is also the president of the ECB, and perhaps could have a outside agenda. Draghi was also the Italian Executive Director at the world bank, later director of the Italian Treasury, then governor of the Bank of Italy where a loan secured with bonds of two billion Euros to the Monte dei Paschi di Siena (MPS) bank. The Italian Central Bank (Draghi) was making decisions that the Parliament and the public were unaware of and the end result was tax payers repaying the debts with interest and the MPS got government bonds and the ICB ended up with junk bonds. Draghi used this as a foundation for a system that protects privet banks and their owners from nationalisation and economic collapse.
Draghi had been pushing for QE from the start, Greece possibly exiting the Euro, and uncertainty in Ukraine, the "low-flation" in the Euro zone economy Draghi knew he would succeed with QE. This was to be expected by the market and you see it in the sovereign-bond market as the yields fall. Historically the ECB has given ample notice in regards to their decisions, when they had their meeting earlier this month it was a 9-0 vote for QE, only one man Mr. Weale stated that a hike was needed and they pushed back the meeting. The risk of QE is high and banks take on a 80% of the risk in sovereign bond buying, some banks have buffers others do not. Other bail out counties will be massively impacted unable to purchase until it redeems debt and given a limit on holdings for the sovereign issuer.
Negative Rates encourage physical cash, metals and real assets like real estate. This all would equal the opposite of the end game. The Government drives prices up and the people who save lose, and the wants of Government drive the innovation instead of how it should be where Government technology drives price down and consumers drive the innovation. As it stands we pay them to give us our own money.
The total Forex reserve is an estimated 12 trillion, half the government will invest, about a quarter in held in Euros and anything sold by a CB most likely will end up in the privet financial sector, so who knows how much will end up injected into the manipulation of the market. Why do we have to pay for the risks they took ? Well knowing, if there is risk, there will be loss. Don't forget, this will only work the way "they" intend it to.

For every action there is a reaction.

Hello fellow traders!
     What an incredible week we had. Just when one thinks the markets can't get any crazier, Swiss associated pairs go ballistic. Luckily zero parameters were met to signal a position in any of the Swiss currency pairs.Whether this was just luck or this happened because my strategy somehow 'knew' not to be in those pairs I really don't know. I think what happened was my strategy waits for specific situations within pairs so the price will move rapidly in a given direction, and perhaps the Swiss National Bank (SNB) also knew this situation existed and timed the information release to take advantage of this. Hence a move that magnified beyond most imaginations. The Swiss Franc moved 17% on average against the Eur, Gbp, Usd, Aud, Cad, Jpy. This in turn moved the Eur which is direct competition, an average of 8%.
     By the grace of a higher force we have been blessed (hopefully) with the parameters having been met to buy the Eur/jpy pair. First the pair has sold off so much, I can not imagine there are any more traders able to push the price lower, nor is there anymore stops to be run (if you believe in that). Reading over other traders forecasts on the Eur/jpy, it looks like most of them are calling for a push lower, talk about missing the boat! I could see being scared to trade the Swiss Franc and maybe the Euro, but calling for a push lower seems improbable.
     Helping out our positioning early this morning, Germany's Bundesbank announced the continuation of repatriations of gold from London, New York and Paris. Bundesbank specifically declared 120 tonnes of gold was transferred from Paris and New York, 35 & 85 tonnes. To me this seems as though this informational press release was done to reassure the world that the Euro has a solid foundation and to help recoup some of the massive sell off that just happened. Looking at charts, the start of the rebound seems to coincide perfectly with the time I believe the information release was made. Along with this information, a repatriation  timeline, table was also released further showing their commitment to stabilizing the Eurozone.
     In case you have been living under a rock, the European Central Bank (ECB) is meeting Thursday January 22 over deposit rates, refinancing rates and a bond purchasing program. This program would consist of purchasing €550 billion ($640 billion) of bonds, independently through each nations national bank, the purchases will represent 20-25% of the individual nations debt. Greece will be excluded since their bonds do not met the minimum criteria. If this bond purchasing happens which is most likely, I think the Euro could get incredibly strong against the other major currencies and create a massive up swing for our long Eur/Jpy trade. Let's cross our fingers.
     Let's go ahead and keep holding our position and hope for the best and reconvene tomorrow or later this week.

They issued VE ...verbal easing

        Since 2008, employment gains have been declining, and just this year they have started to stabilize, effectively pushing the unemployment down with the solid employment gains.  Gains in employment were the highest this last November than they have been in the last three years.  Online ads for jobs increased, indicating employment gains.  Surveys came back stating that many jobs were available and were much easier to obtain.  The indicators were encouraging in the anticipation of the reports.

The numbers came back and for the most part, they looked good, then they looked a little closer.  For eleven months straight the payroll increases have been up above 200k, those numbers have not been that strong since 1994.  The Economy has generated the strongest number in new jobs since 1994, and showed 50k more than the forecasters predicted.  The economy looks to be positioned for strong growth in 2015.  In fact, the numbers were so good they almost deemed America fully employed by FED standards.   

Despite all the optimism in employment, weak wages took the spotlight and the softness in earnings that fell drastically.  There really is no obvious fundamental factor that can explain the numbers that were reported.  They listed excuses and blamed a “seasonal fluke” in the retail trade sector.  This time they couldn’t directly blame the weather.  Job quality was not good as well, creating disputes as to what exactly these numbers could mean.  Updated adjustments will of course be released further, most likely while some catastrophic event is taking place to distract us, from the outright manipulation of the numbers, as they always do.

 These statistics and reports are just a reason to issue or delay the rise of the FEDs interest rates, or a justification of QE printing to monetize debt.  These numbers and reports can be perceived many different ways.  They have the ability to manipulate what information is presented and how the surveys are handled. The numbers just do not add up.

 We have roughly 47 million people who get food stamps and inflation with food prices continue.  Many people still live paycheck to paycheck, less than three percent of Americans make over 75k.  Jobless claims rose to 299k.  Jobs in the energy sector had the highest number of job cuts since 2012. With a population, around 316 million and 94 million are not in the labor pool how can we be close to fully employed.  America is still in massive debt and the FED has many people waiting to see if they will raise their interest rates.  The verbal easing Yellen keeps spewing has become intolerable.  One person will say they are raising rates is what will happen then the other will say no that we will wait.  The reality is that if they do raise the rates the trillions in bonds, trade derivatives would create a mass of bank runs and the same banks that control the FED wall St. banks would implode.  It would also crush equity markets the many corporations that took massive loans to cover there debt and had to buyback shares.  The impact would be devastating for the main players, most of all the FED would become unable to control the economic conditions.  The FEDs policy is really designed to take wealth from the largest population and has systematically been wiping out the middle class.  They do not really care about the numbers of employment or income they want to keep the current financial system just the way it is.  The FED will protect it’s self and the banks, they know that foreign cash will shrink the long-term rates and they can always print to cover their own debts if need be.

Flying over the Swiss alps

     Hello traders, good day.
  Positions have moved around, but overall account gain is about the same. Gbp/jpy and Gbp/usd have retracted some, while Usd against Chf and Eur have moved to our benefit. The huge move in our Usd/chf buy came after Swiss trade balance data was released which came out positive 3.87 bln vs 3.23 bln previously, a move of 0.21%. One would think "hey this is positive for CHF, the Usd/Chf should have dropped". You are absolutely right, but no CHF weakened. How? don't worry I will figure out some BS spin to make sense of it :)
     If we look at a chart of Usd/Chf, western Europe Tuesday of this week, a large amount of volume came in selling right after western Europe Monday volume had been buying. Factoring oscillation that can occur, the pair was poised for a strong move upwards. That along with a trend line starting at the pairs high for the week extending to next high after volume dropped, makes for a great buy entrance. Another factor could be the Swiss gold referendum from November 30. That had originally moved the Usd/Chf pair up in the preceding week. Which to me makes sense considering they would be holding less gold against there currency, hence a weakened currency. The following week that entire upwards move evaporated almost to the exact price the day before the referendum. What you had was trading participants saying the currency should be weak, then you had the opposition coming in saying no, pushing it back down. I would say most people thought the currency should be weaker, that played out and when volume died out after the gold hype. The "whales" came in on low volume and pushed the pair back down. Two weeks in the pair is down, both retail and manipulators played there hand and you have the pair moving back up where the majority of everyday people/ traders think it should be.
     In conclusion, we could see a break out move higher since the highs of 0.9820 have been broken. Who in there right mind would sell at highs not seen in over a year? This could get crazy, this could go sky high!!

Have a great day -Pablo