Whose Buying Democracy?

The Million Dollar

Super Pac Club


At some point in time $1,000,000 or even the Adelson’s (now) S11,,000,000 million will seem like chump change to give to a Super Pack.

By then our democracy will be like Russia’s oligarchy or  the one Party state of China.


The Oligarchs contributing to Super PAC’s

Romney’s $1,000,000 Super Pac Club

  • Steven Lund - Formed a company just to contribute then company vanishes.
  • Edward Corner – VP Bain – Had to be outed.
  • Jeremy BlickenstaffLund’s Son in Law
  • Julian Robertson – Hedge Fund Owner/Manager
  • Paul Singer – Hedge Fund Owner/Manager
  • Robert Mercer – Hedge Fund Owner/Manager
  • John Paulson – Hedge Find Owner/Manager

Every one for these individuals, because they are associated with/runs a venture capitalist or hedge fund pay the same tax Romney did for all his years at Bain

15% or less – You suckers pay more.

How many Swiss and Caymen Island Bank account’s here?

Obama – $2,000,000 Super Pac Club

  • Jeffery Katzenberg - Dreamworks

What’s missing ?

and More Important

(I’m just one person up against a deadline)

  • Bundlers for Unions and Companies that amass millions
  • The massive Pack of donors who give more than legal $2,500 to a campaign, but less than a $1,000,000
  • The donors who give to both sides
  • The oligarchs who are smart enough to wait till the last quarter to give so that their names won’t be made public till after the election.

The Bottom Line







Wall Street Bull and OWS Symbol


Short Term Outlook

  • “Golden Cross” -  This term has a lot of significance especially for long tome technical analysts and old school investors. It’s when the 50 Day Moving Average of price crosses the 200 DMA. That happened yesterday = Bullish
  • Repeat from Monday -” A lot of 2012 has to do with politics. Do we keep the Bernanke/Obama team that has almost doubled the S&P 500 and led to a slow, but steady economic recovery in place or do politics dramatically alter this?”
  • Repeat – Long term - As long as interest rates stay low, and there is liquidity without inflation – investment money seeking higher returns will be forced into stocks and bonds. This dynamic has not changed under Bernanke/Obama even though other significant sectors of the world have taken some big hits (Europe & Japan) or are slowly pulling back – China.

The POSITIONS page does not yet reflect the 2012 Outlook.

  • Our #1 technical forecasting tool, the McCellan Oscillator (MO) rose to +45.61 . 50DMA at +8.96 (for more see  STRATEGY link at top of blog)  Short term = neutral/BEARISH
  • The MO can be read like any chart (see  above link) This is the 6th time in 6 weeks the MO has approached +60. It failed the other 5 times. That’s one very very strong resistance level.
  • Mantra - Low volume rallies are a characteristic of Central Banks and friends manipulating stocks/bonds. They have become quite good at this and these rallies have tended to last.
  • Combination Option Trades – Congratulations to two of you who made $ on an AMZN combination options trade.  Not a lot, but a 10 to 25% profit. NFLX , we all made out on this one last quarter, reported last night. The option prices were too high to risk this trade, but it sure looks like it may have worked again.




Paul’s Corner


Your Stock List 2012 Changes and Updates

KLAC – being added to Your Stock List.

KLA-Tencor Corporation designs, manufactures, and markets process control and yield management solutions for the semiconductor and related nanoelectronics industries.

Chart Comments

AKRX – broken out of a 2 month base, hit 52 week high

BKI – fell after earnings report, bounced off of the 50 dma, watch

CATM – broken down though the 50 dma, all HGSI indicators red, ready to be removed from YSL, however reports after the close this evening Feb 2, est 0.36, we will wait for the report and watch the chart before and final decision to remove.

CMG – riding up the 9 dma, a true warrior! I love the chart but not the food!

DLTR – riding up the 17 dma

ENB – all indicators green, recently bounced off the 50, shows strength

FAST – riding up the 17

FTK – in a correction, never broke the 50, watch!

IBM – top of current trading range

KLAC - riding up the 9 dma

KOG - chart trending down with the oil stocks, sitting on the 50

LEN – basing on the 17

MA – correcting, buyable if it crosses up through the 50

MNST – has been a monster of a stock, pulling back from it’s recent high, in a dip, buyable as per our buy the dip suggestions, link below

RYL – Basing on the 17

SIMO – basing and in a dip, buyable as per our buy the dip suggestions, link below

TSCO - reported after the close Wednesday. Came in at 0.96 vs est of 0.91. Revenues reported lower than expected. Trading down about -1.5% after hours. Support is at the 17 dam 78.40. If it breaks, the next support is the 50 dma which is about 74.

Note: good stocks ride up the 50, great stocks ride up the 17, warriors ride up the 9, stocks in an exhaustion run ride up the 4!

Buy the dip suggestions


Many of these stocks are about to report earnings, have you checked the dates?

Disclaimer – All chart comments are for education only, please do your own research and make your own decisions. Kindly don’t blame me or Barr if you buy a dog and lose your life savings.





Longer Term Outlook

3 months+

The benchmark S&P 500 is at 1324. The 50 day moving average is at 1260 and rising. We would have to come close to the 50 DMA before a significant change  in Long Term Outlook is considered.

We are up against strong technical resistance. But ultimately its fundamentals that will determine market direction. What Central Banks (US & Europe) do and will the payroll tax cut be continued, are the foreseeable  major factors determining market direction.








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