• DAX way up 0.47% this AM (6:30EST) and the Italian 10 year bond is in full retreat for over a week. The correlation between European & US stock markets has become weaker, but still significant. Latest data below. All this = Bullish

How we are manipulated

Three examples of  how us sheep get manipulated

Information

There are 57 different algorithms that go into every individual Google computer search.

Example if you type in the word Egypt you might get as the top three choices – “Crisis in Egypt, Protests in 2011 and Laura Logan.” Your friend types Egypt in a google search and gets – “Travel, Egypt Daily News, & CIA fact book”

TED is an outstanding organization that offers educated and differing views on critical topics by some outstanding people (Investors411 is proud to occasionally link to this site).

Beware Online Filter Bubbles is a topic presented by Eli Praiser on how editors of newspapers used to edit what we read a century ago. Today Google’s, Facebook’s, and a host of other companies use automated algorithms to edit where we go on the web. Absolutely fascinating 9 minute presentation that I strongly urge you to view or going back to being a sheeple.

Political Manipulation

The killing of bin Laden is a story that has some far more obvious manipulations for political advantage. Obviously hundreds of people contributed to bin Laden’s capture and made many critical decisions – CIA technicians, spies, informants, information analysts, upper level military officials, navy seals etc. all the way to the President of the USA. A huge mosaic and team effort.

Obviously here, Democrats want to focus on the “critical” decisions President Barak Obama made that led to bin Laden’s death. The Republicans, understandably, want to change the narrative to anything but Obama. Example: they are trying to make the story about did torture play a role in the killing of bin Laden?

Silver Manipulation

Usually when the supply of something runs low, and the demand is great, the price goes higher. This is basic economics.  COMEX, the world’s largest commodities exchange is running low on silver. Or so the information seems to indicate. COMEX and others have raised the margin requirements on Silver making it much less profitable to buy and sending the silver prices plummeting.

“Another 186 thousand ounces of physical silver” according to source cited above is being “reclassified” by COMEX today.

There ar two clear sides in this silver market manipulation. Those who will profit over silver/gold moving higher and want it to become the fiat currency of the world (gold was before 1971) and those that want the dollar to remain the fiat currency of the world .

The cast of manipulators include central banks and major financial institutions across the world. Right now the dollar manipulators have the upper hand and the silver investors are in panicededfull retreat.

Disclaimer – I posted on this in yesterday’s blog and commented on it at 2:00PM EST. I own ZSL (double short silver prices) NOT recommended for long term traders or for people that will NOT watch silver prices closely today & tomorrow.

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KISS & Stocks

(Keep It Simple Stupid)

If you don’t understand a term look in up at Investopedia.com dictionary

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

DOUBLE CHECK ALL DATA, I MAKE MORE THAN GRAMMAR MISTAKES

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Reading The Tea Leaves

What to watch today - Forget stocks and watch the dollar

• UUP - (Tracking ETF for dollar) Remember - Usually the dollar is a contrarian indicator for stocks. Any major fall may give temporary help to US stocks, but a major breakdown also signal major structural problems with the USA

The UUP has seen extremely heavy volume 3 of the last 4 trading sessions. It has leveled off after declining 9 of he last 10 sessions. The last sentence = short term oversold conditions. Opening and closing at the same level in heavy volume usually means a reversal of trend. In this case the dollar goes higher and related stocks/commodities usually go lower.

The dollar is a critical forecasting tool for stocks & commodities. The MO is in Neural, Silver is being manipulated lower.

So ir looks like for the short term bears rule. We’ll get back to the Bubblicious Fed market manipulations (higher) soon.

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Look for Paul R’s enlightened views on stocks ing the comment section of blog

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Positions

See “POSITION“ section of blog (at top of page) for lists of potential stocks & ETF’s including ”YOUR Stock List.”

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Investors411 record – 4 1/2 years of beating benchmark S&P 500

"The Family"

THE FAMILY – The Secret Fundamentalist Group at the Heart of American Power - is the title of a New Book by Jeff Sharlet.

This group of Congressmen and Senators has met secretly for decades and has a "C Street House" in DC where some members actually live. They believe that "they were chosen by God not the people for their leadership positions" They are " a Christian Mafia" that are answerable to each other and not the voters. Hillary Clinton has actually praised their leader Doug Coe .

Some high profile events besides Sharlet’ s book (who lived with this group for a year) have blown their cover.

• Philandering Governor Mark Sanford (R. SC) is a member of this group
• Philandering Senator John Esign (R. NV) is a member of the group
• Congressman Zach Wamp (R. TN) has recently partly broken the code of silence

When The Family members talk about accountability, they talk about accountability to this invisible group not to the voters. This is NOT democracy. The Family has existed for decades and was "deeply involved with lots of the death squads in Central Americas."

Rachel Maddow has an expose on the cracking the cover of this secret, mysterious, powerful, christian, fundamentalist cult who have secretly spread their tentacles throughout the world  here (video)

NPR also has interview with Jeff Sharlet here

Jeff Sharlet has his own site here

Your Comments

Check out the comments by Bob Sadinsky & "Confused Investor." on the comments section of blog.

STOCKS

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

Index	Percentage %	Volume
Dow	+3.07%	up
NASDQ	+3.51 %	up
S&P500	+2.96%	up
Russell2000	+3.85%	-

Investors411 record – 4 1/2 years of beating benchmark S&P 500

(see results for last 1/2 year – click  6/25 & scroll down)

Technicals and Fundamentals

• Brown = repeat statements
• Green = usually bullish statements
• Red = Usually bearish statements

Markets exploded  higher in increased above average volume. Not quite kick ass volume, but decent volume, especially for the NASDQ. Finally volume confirming Bull’s Rule.

The benchmark S&P 500 broke through a resistance level and finished at 932 . The last resistance level is 956 – this year’s high. The NASDQ also financial broke a resistance level and ended the day at 1862 , The NASDQ high for the year is 1880 . Now reasonable to expect that this year’s high will be challenged – Bullish sign.

Financials/Shadow Banks are probably going to continue their charmed existence, because t he Obama administration & the Fed has deemed the big ones too big to fail and they keep kicking the can down the road on any major fix of the problems that created the economic meltdown. The NYT did an editorial on this (see yesterday’s updates) Yes fixing the problem could have a negative short term impact on financial stocks, but everyone would be better off with a more transparent & ethical banking/financial system in the long run.

All of this rally is probably a false sense of security, because the fundamentals that created the problems have not been fixed. But for now ride the momentum .

After Intel’s fundamentals surprised investors, the next two stocks to look at are Google & IBM. They report after the closing bell. Alcoa (commodities) was the first to surprise, but markets did nothing. Now investors are  expecting a better than average earnings reports from these two tech giants. If we get decent numbers or forecasts (it does not have to be a "grand slam,") the tech rally should get extended.

JP Morgan reported earlier today and did well.  Few expect other banks to have the blowout numbers that Goldman Sachs had.

Significant forecasting tools/Indexes for stock markets

BDI - The Baltic Dry Index measures the flow of goods (world trade) A massive 6+% gain on top of yesterday’s significant 3+% gain. So the prediction on Monday about a bullish turn has come true again.  Price rise here is bullish for stocks across the world. Bulls Rule – gaining momentum.

In a nut shell the BDI is

• short term - Bullish
  
• mid term -  Bearish pattern
• long term - Bullish pattern
  

$USD - The Dollar is on the verge of falling down through in its in its 5+ week long consolidation pattern between $79+ and 81+. Dollar closed at $79.40.

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Monday’s Fearless Forecast for week – So expect a rise with some financial stocks reporting early in the week and that rally to get tempered later in the week Intel surprise is a strong fundamentally Bullish factor

Changing Long Term Outlook back to NEUTRAL – Both the BDI (world trade) and technology are green shoots

Our Positions

Personally I’m adding to positions early this AM and/or on any dips. (5% to 10%) addition .

• Added another 2.5% to INF (see positions section at top of blog)
  
• Added 5% to QLD (see positions)
• For those traders (not longer term Investors) who bought recommended FAS made over +11% yesterday. This could go higher,  but no one went broke taking profits. So either set a 5% stop below current price or sell. I took profits at Adding the the close yesterday.

Adding another 5 to 10% today on any dip. Next two positions to be added on small dips.

• EWZ had huge volume behind its rally yesterday
• EWS (Singapore) NEW ETF not previously discussed. This market has outperformed all other major markets. It sits smack dab in the middle of trade routes and has a huge port facility. It is on the verge of breaking out of a multi month consolidation pattern.

If Google & IBM fail to deliver we can temper this move back into stocks.

From Yesterday – Rally ho

Note to Confused Investor (see comments on left hand side of blog) – Will clean up the Positions section this weekend. You’re right. Remember this is just one person writing, editing and publishing this blog.  Please allow for some foot dragging and especially poor grammar.

Note change in Long Term Outlook up ANOTHER level to CAUTIOUSLY BULLISH

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING!