.

Vampire Capitalists

.

vampire squid red inside out

.

Matt Taibbi’s

quote on Investment Bank Goldman Sachs –

A great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money.”

However as we’ve seen over the course of the week its not just Goldman, but Republicans, Democrats, all investment banks, lobbyists, plutocrats and a host of wealthy individuals that have turned banking into an industry full of giant vampire squids.

These giant squids are still sucking today.

-

vampire squid illustration


The Blood Sucked

.

  • The rise and fall of the housing bubble.
  • massive loss in homeowner value
  • Banks collapsing others forced to merge
  • Stock markets around world melting down
  • The Great Recession
  • Massive rise in unemployment
  • Collapse threatened from Insurance (AIG) to Conglomerates (GE) companies
  • Stimulus to help (largest chunk a tax cut) increases deficit
  • “Financial Armageddon” threatened

More

.

Dylan Ratigan Chart LINK

.

  • Massive Debt
  • Outrageous bank fees
  • Declining Investment
  • Incentive to create debt not value
  • Loss of  finances innovation and product quality
  • Major factor in over leveraging European debt crisis
  • Banksters keep all the profits and bonuses
  • YOU pay for their losses

.

Tomorrow – The Cover Up and

Some Solutions

.

**********************

.

Republicans

.

.

Rick Santorum

Releases 4 years of Tax returns

Simple question - If Romney and Gingrich are so proud of their wealth why not release 4 years of their returns like Santorum?

Vampire capitalists like to hide in the shadows

Real capitalist are not afraid of how they honestly earn money

_________

Romney at Bain Capital

Is Romney

a good Businessman?

Three companies are trying to sell a product – In this case the product is a candidate labeled- a Romney, a Santorum and a Gingrich.

  • The Romney company outspends the Santorum company 20 to 1
  • The Romney company outspends the Gingrich company 5 to 1.

The Bottom Line - Santorum is slightly ahead in the polls – Make all the excuses you want, but any business manager with this kind of cash advantage  not able to sell his product by now and obliterate his competition would be hearing these  words

.

You’re FIRED

.

.

*******************

.

STOCKS

.

Wall Street Bull & OWS Symbol

  • Mantra -INVESTORS411 has not changed its long term outlook, because this is a manipulated market. Our Central bank  has backed American banks since 2009 and the European Central Banks is now backing their Banks in the same way – by basically printing money and holding interest rates near zero.”
  • Therefore - “Anyone who wants a return on their $ greater than near 0% is pushed into assets that the ECB and Fed is manipulating higher. Our economy either gets better or the Fed has our back”

Shorter Term

  • AAPL the mother of all stocks had a 5% drop off highs (2% loss for day) and this took stocks down with it. While AAPL did go elliptical, it had above average but not huge volume behind the move.
  • From Yesterday Tom Demark is an analyst  that major firms pay 5 figure amounts to use his advise.  Using one of his indicators roughly based on the fact that AAPL has been up 11 of the last 13 days, we should start to see a correction about now.
  • About a decade ago I was taking technical analysis classes at MIT with my friend Harold and I learned about Demark’s 13 day trend exhaustion Indicator. It has worked far more often than not when I have applied it. It sure worked yesterday.

—————-

  • Our #1 technical forecasting tool, the McCellan Oscillator (MO) fell to -27.60. 50 Day Moving Average at +22.71 (for more see  STRATEGY link at top of blog and scroll down) Now in a clear falling (bearish) pattern. However, with such a high 50 dma we are near oversold/reversal of trend territory.  But still = NEUTRAL
  • 2 year MO chart This chart shows many reversals in trends  start around -60. Big  meltdowns 10%+ can go to -100 to -140. Since the 50DMA is so high (+23) we start oversold territory at -60 + +23 = -37

Investors411 has used this one simple timing indicator because it has been so successful for over a year.

  • What used to be the European canary in a coal mine is chirping, but a negative trend has started.
  • Italian 10 year bond yield is now at 5.84% - No where near the danger zone of 7.0% of just a couple weeks back. But its moved up 5 days in a row. This may be just a technical rebound, but clearly now something to watch especially if  yield goes up at a rapid rate.
  • From Yesterday  - Bottom Line - “An AAPL led technical market correction is very possible. A 2 to 5% correction would be ”healthy” for stocks and a buy the dip opportunity.”
  • A yield approaching 7% would mean European manipulators are loosing control. You can be sure Investors411 will give a shout if the Italian Bond yield gets too high

.

******************

.

Paul’s Corner

A Shot Across The Bow!

Well gang the early shots have been fired across the bow. This bull market may not be over but the signs  point that way. I have linked to two charts of yesterday’s action with the VIX and the TVIX (2x VIX). Down kahuna’s for have been fired and the %B*BW are now up into early warning dangerous territory.

VIX Link

TVIX Link

I’m not going to explain what these charts show as Ian Woodward in his recent video does a great job of explaining. This is an excellent video, and it shows why I follow Ian. He is an excellent teacher. Please watch the video!

Ian’s video explaining these charts

This may be a minor blip in the bull market we have recently enjoyed so be careful, let’s let the market tell us where it is going. At the moment we have been warned, please be careful with any new long trades.

.

******************

.

Longer Term Outlook

3 months+

.

Still

CAUTIOUSLY BULLISH

.

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

ALL TRADING INVOLVES RISK AND POTENTIAL LOSS OF PRINCIPLE

CHECK ALL DATA, I MAKE MORE THAN GRAMMAR  ERRORS.

  • Share/Save/Bookmark