Folks I'm liking the action in the stock market and that is where I've been for a while now.Link

well today cost me 600.00 thus far. Here are positions going into tonight. I reduced my size as per loss rule.

Pips Mean Nothing

Here is a perfect example of pips not meaning anything. It is the size of the position that maters. I flipped EUR/USD and went long. Notice the pip count but who cares as the dollar count is what is important.

Here is a 5m chart of eur/usd. Take notice of the 60band reject. This little move was good for 8 pips.

The red line is my tgt for this short term trade...

Often you will find channels on different time frames that look good. This is a 5min chart of USD/JPY

TEA BAGS!!!

I’ll do it in a heartbeat!

(Me too !!!!!)

Could be interesting if people actually participated.
Why not?

There's a storm abrewin'. What happens when good, responsible people keep quiet? Washington has forgotten they work for us. We don't work for them. Throwing good money after bad is NOT the answer. I am sick of the midnight, closed door sessions to come up with a plan. I am sick of Congress raking CEO's over the coals while they, themselves, have defaulted on their taxes. I am sick of the bailed out companies having lavish vacations and retreats on my dollar. I am sick of being told it is MY responsibility to rescue people that, knowingly, bought more house than they could afford. I am sick of being made to feel it is my patriotic duty to pay MORE taxes. I, like all of you, am a responsible citizen. I pay my taxes. I live on a budget and I don't ask someone else to carry the burden for poor decisions I may make. I have emailed my congressmen and senators asking them to NOT vote for the stimulus package as it was written without reading it first. No one listened. They voted for it, pork and all.

O.K. folks, here it is. You may think you are just one voice and what you think won't make a difference. Well, yes it will and YES, WE CAN!! If you are disgusted and angry with the way Washington is handling our taxes. If you are fearful of the fallout from the wreckless spending of BILLIONS to bailout and "stimulate" without accountability and responsibility then we need to become ONE, LOUD VOICE THAT CAN BE HEARD FROM EVERY CITY, TOWN, SUBURB AND HOME IN AMERICA. There is a growing protest to demand that Congress, the President and his cabinet LISTEN to us, the American Citizens. What is being done in Washington is NOT the way to handle the economic free fall.

So, here's the plan. On April 1, 2009, all Ameicans are asked to send a TEABAG to Washinton , D.C. You do not have to enclose a note or any other information unless you so desire. Just a TEABAG. Many cities are organizing protests. If you simply search, "New American Tea Party", several sites will come up. If you aren't the 'protester' type, simply make your one voice heard with a TEABAG. Your one voice will become a roar when joined with millions of others that feel the same way. Yes, something needs to be done but the lack of confidence as shown by the steady decline in the stock market speaks volumes.

This was not my idea. I visited the sites of the 'New American Tea Pary' and an online survey showed over 90% of thousands said they would send the teabag on April 1. Why, April 1?? We want them to reach Washington by April 15. Will you do it? I will. Send it to; 1600 Pennsylvania Ave. Washington , D.C. 20500 .

Forward this to everyone in your address book. Visit the website below for more information about the 'New American Tea Party'. I would encourage everyone to go ahead and get the envelope ready to mail, then just drop it in the mail April 1. Can't guarantee what the postage will be by then, it is going up as we speak, but have your envelope ready. What will this cost you? A little time and a 40 something cent stamp.

What could you receive in benefits? Maybe, just maybe, our elected officials will start to listen to the people. Take out the Pork. Tell us how the money is being spent. We want TRANSPARENCY AND ACCOUNTABILITY. Remember, the money will be spent over the next 4-5 years. It is not too late.

Of course, if you agree with the way things are being done now, just delete!!!!!


Bob Brinkley,

USD/CHF

Here is a 4h showing the drift.

EUR/USD

This daily shows a stubborn down channel that has acted as tough resistance. Bulls need to pop the R/line and take out the simple 50dma. I'm bull here out of the channel and will remain a bullish tone as long as 1.2440 area holds.

GBP/JPY

GBP/JPY daily is currently trying to get out of an inverted head in shoulders pattern. Needs to bust up through this consolidation area. Trend line still in place so this is a plus for the bulls. Now should we drop out of this consolidation zone I'd get bearish. Bull pattern tgt is also highlighted.

Soup Line

Well the bailouts continue thus deepening our financial problems as a nation. We seem to think by throwing good money into a bad investment is going to restore confidence. The problem is investors do not trust anything they see, companies balance sheets mean nothing. One company I have deep respect for is AFLAC. In fact this is about the only company I can say I trust. The CEO refused his golden parachute and recently declined his 2m bonus.
What about all the fraud that we are seeing. Suddenly those astute traders that have been ripping off the public are starting to get caught. Much damage has been done to the markets and until confidence is restored I expect this year to be more of the same.
Volatility continues to rear itself. If one is to venture into the markets I recommend trading small positions with lose stops. I’ve been using the weekly charts to figure out position sizes. For the most part it is not even worth the trade as the position size is minuscule…
I do see some concern with every time the government puts out a statement and it moves the markets 100-200 points in less than a few minutes. Just remember the more they (GOV) gets involved the worse things will get.

I think we are near depression status. Our country is derived from credit. This is ugly as those who are living beyond their means will probably be thrown a lifeline from the GOV. This punishes those who have managed their money and folks this is wrong. I predict everything that the Obama team is talking will happen in opposite fashion. http://economywatchblog.dallasnews.com/archives/2009/02/heres-the-scene-today-in.html

GB

GBP/USD

This daily chart of GBP/USD shows a possible inverse head-and-shoulders pattern. The trigger would be the pop over the neckline. Pattern target would need to be adjusted as to where in time if at all it triggers. I like this chart long over neckline.

Trading Madness

Well what a roller coaster ride this market has been. The bear clings on with claws as sharp as razor wire cutting American’s 401k virtually in half. Now imagine if you were one of the unfortunate that had needed this cash to live on. Many have flooded the bound markets, but this is an unwise move and the bound markets will crash in 12-24 months.
Investors have been scrambling to find ways to make their cash work for them. I have an electric orange account with ING http://www.ing.com/group/index.jsp So I would recommend looking into ING as a place to earn better interest then your bank. You link your accounts and then simply transfer money. Keep enough cash in your bank to live on and transfer the rest into ING… So in essence I’m saying America needs to get back into the SAVING MODE!

GB

EUR/GBP

I like the possible long potential in EUR/GBP. Chart shows price needs to break the down channel for confirmation.

Follow up

Price objective hit

EUR/USD

This 30min chart does look interesting to me. Its trying to break out of a down channel. I also think a double bottom bounce is in play to target zones.

Inverted Head and Shoulders (maybe)...

This 4h chart of GBP/JPY has a inverted head and shoulders pattern in the works. Should price cross the neckline pattern target would be around 156.00.
It still remains longer term bearish, but my sentiment is shifting and bullish down to the right shoulder.

Grains/food shortage

Since taking an interest in geopolitical news and trying to learn about the economy, I’m thinking grains will be in huge demand going forward. Global food shortages , climate weather changes, political instability, and global depression will trigger Biblical sized food shortages that has never been seen before.

If you think our food supply in America is not in jeopardy then you might think again. Just last year we saw about a 22% increase in our cost of food.

Wheat prices alone have risen 92% last year.

The amount of U.S. grain currently stored for following seasons was the lowest on record, relative to consumption.

Food shortages have historically tied to civil unrest. Many countries have been having riots because not having food. Folks, despite the resources shortages food is one we can not do with out. While many western countries ignore the mounting evidence of a global food shortage, even the complacent United Nations is waking up to the reality of a looming world crisis. In a dramatic December 2007 alert, top UN officials report that in an “unforeseen and unprecedented” shift, world food supplies are slipping to dangerous levels, while raw prices are rising to historic record highs. The situation produced “a very serious risk that fewer people will be able to get food,” especially in fragile third world countries, reported Jacques Diouf, director of the UN Food and Agriculture Organization.

(1)The Food and Agriculture Organization of United Nations warned of more food shortages and crop output during the opening of its meeting on Food Security for All, which is being hosted and organized Jan. 26-27 by the Spanish government and co-sponsored by the United Nations. The objectives of the meeting are to raise the political profile of hunger and food security, develop new partnerships and increase resources.
“With an expected increase of 40 million in 2008, the world today has reached 963 million people who are malnourished,” said Jacques Diouf, Task Force vice-chairman and Director-General of the Food and Agriculture Organization of the UN. “This signifies that right now there are almost 1 billion who are hungry, out of the 6.5 billion who make up the world population.”
Diouf called for an investment of $30 billion per year in agriculture of developing countries to double food production by 2050 and ensure the basic right to food for all people.
Meeting participants included UN officials and representatives of international agencies belonging to the Secretary-General’s High-Level Task Force on the Global Food Security Crisis, along with leaders of think tanks, non-governmental organizations and the private sector.

You can Google “food shortages” to get a pretty good idea of the magnitude this is becoming.

So this is just the tip of the iceberg of mounting issues faces the world pertaining to food.



Sources:

(1) Food and Agriculture Organization of the United Nations

Shmailout Bailout

I think this bail out is a fraud. We are not going to resolve the issues by throwing cash in the fire. In fact the more the gov. gets involved the longer and deeper we shall slide. Americans do not trust Wall Street and they need to speak up. We stand a very good chance of having a complete collapse of the entire house of cards. Does this frighten you? Well it should. Look at the debt this country has, even an uneducated person like myself can see we cannot repay this back.

We as a country are all aboard the TITANIC and the scary thing is we are steering right for the iceberg. I see it playing out like this. The elite will have access to the lifeboats. The rest of us will be trapped and left to fend for ourselves.

Our Government is directly to blame- The 545 men and women who run this country are to blame. They blame each other for the problems and this must stop. We have 300 million people in this country, but yet only 100 senators, 435 congressmen, the President, and 9 Supreme Court Justices, so I’m pissed at both Democrats and Republicans alike…

What is the solution to the mess? Well, spending is our American problem. Yep, we like to spend. Why would the gov. want to give the people a crumb and think this will stimulate our economy? What a joke! You see folks, the 545 people who run the show are not in touch with reality, they make way too much money to know how hard it is for the common citizen. They don’t know or they have forgotten how hard it is sometimes to make ends meet.

We had kids who were allowed credit and houses they could not afford.

I was taught in the military as a Non-Commissioned Officer that leadership is something that is earned and not given. I learned to lead by example. How can it be possible that Geithner has been elected into a high position, even though he did not pay his TAXES… THIS REALLY PISSES ME OFF…, Not fair folks. You or I would get our heads handed to us for not paying taxes and thought of as a low life. Well, Justice for one is not Justice for all. His failure to pay taxes should have disqualified him. Period.

Our Greed is now repaying us back as a nation. The golden parachutes are gone. CEO’s of big corps thought they were the stuff. Jokers are now sweating it out. This is good and we need the fear to grip this country as a whole and shake the daylights out of us. We need to come to our senses and to bring production jobs back to America. Anytime you kill the train engine you kill the train. We have been limping along for a good while now.

I’ve been shopping at Circuit City for over 15 years. I was impressed with the knowledge of the sales reps and they had incentive to do well. If they sold something they got what use to be called commission. The more they sold the more they earned. Then all of a sudden the GREED mode of corp. America attacked. They took away all incentives. This indeed killed the engine. Ultimately this was the beginning of the end for Circuit City. Folks, this is what has been happening on a macro level around the entire country. I saw it coming for Circuit City 3 years ago. The scary thing is I bet the upper tier of that company did not have a clue. We need to bring back the engine and through incentives reward those who deserve it.

By GB

What Is The Truth?

Well I ask you "what is the truth?" I've not been posting on my blog as I was just waiting for the shoe to drop. Well it dropped, in a big way! So in the mist of madness where does the truth lie? I think the storm is gathering steam. Our problems run deeper then who gets voted into office in a few months. In fact who in their right mind would want to run for President during these tough times? We as humans have for the most part gotten spoiled rotten to the core, and bloated with entitlement. This will have negative consequences for generations to come, should we as humans make it that long. We don't learn until it is too late.

Here is my perspective of the truth. Take what is said by the fed and his friends and just invert it... Paulson was tooting his horn a few weeks ago at how stable the financial market was... I guess this is the reason for injecting 70B of money into the market.

Now I'm also thinking wall street thinks the FED may lower rates. This will be great for oil and gold. The FED must be happy with the strong recovery of the USD? Wow, this is getting real now.