Morning Charts 04/30/13 SPX /ES

It is like watching a bad horror flick. You know what's going to happen to the really hot blonde chick when she goes into the shed outside after dark, but you want her to stay alive cause she's the only thing worth watching in the movie (ladies you may substitute what you may there). Substitute the really hot chick with the awesomeness of the debt bubble. The synthetic beauty of the past 10 years resembles the enhanced medically adjusted body of the tight t-shirt wearing blonde, it ain't real. Yeah, it's there and you are enjoying it, but it's not natural. Just like her body being manipulated to deceive you everything economically has been as well.

Some years later and a few miles down the road, things start to show some wear. In this case they are on their 18th or so enhancement and are starting to resemble Justin the real life Ken Doll. Want to see the poster children for or economy today?

There you go folks. Look into the eyes of reality. Controlled, manipulated, self absorbed, self serving out of touch, lost in space, danger Will Robinson danger situation we've created. For all I know this may be the next first couple. We've done worse I suspect. Why not? These two perfectly peg the motif. Greed, total control, fake and totally manipulated. Welcome to reality today.
 


On to the markets -

Morning Charts 04/29/30 SPX /ES

Based on the propaganda this morning it appears all is well in the land of unicorns and fairy tales, so I will just move along to the charts. Never mind any of the headlines on the Economic Collapse blog, they are just pure fear mongering and should be ignored. Let's just roll with what the state tells us today and be good little sheeple shall we? I'll let the charts do my talking this morning.

Daily SPX - Negative divergences continue to worsen and extend their run. Overbought, overthrown and basically over everything, the markets are in a very dangerous spot. Technicals schmechnicals, the Fed has everything under control and 1600 is just above and in their sights. We all know they can't let the markets even correct normally at this point without causing major panic, so expect more of the same till it isn't.

Minis 60m - Here is the deal - near term blue channel support is supporting price driving it up into a wall of three older resistance diagonals. Price is getting pinched here and it will have to break one way of the other. Today or in the morning we'll know what the result will be at the coming inflection point.

Open Weekend Post 04/27-28/13

You know the drill, share the love and the knowledge.

Not much to say or see. I'll post a chart sometime when I find something worth looking at.

Enjoy the weekend,

GL and GB!

Morning Charts 04/26/13 SPX /ES

Round trippin. At least we did not have to get felt up and abused by the TSA on this journey. The SPX rotated positions from on to off to on again. Since the April 05 lows, price has been in a rather violent and large consolidation phase. Ranging from the euphoric nosebleed 1597 to the fear ridden 1535 low, the markets are beginning to show some wear and tear. And no, this is not a chart of the fall from the '07 top to now although it looks very similar.

This is not kind and not meant to belittle anyone or any incident, but the markets resemble a Bangladesh factory. Lots of cracks and unsafe working conditions, but everyone is forced in to work every morning regardless of the situation. Just like with this factory, a collapse will happen soon enough, and the bosses and owners will be nowhere to be found in the aftermath.

Please remember all those affected in the horrific incidents in Bangladesh. One hates to draw parallels at times, but sometimes it takes a disaster to shine the light where no one has been looking. In this case you see the global system literally crumbling from ground up. The poorest of the poor working to survive in dreadful and unsafe conditions so we can have affordable clothing.

Well, that's the MSM spin. More like working so Apple, Walmart and the Targets of the world can sell their wares at the best possible margins in order to satisfy Wall Street, and so the corporate overlords can make millions. Greed rules. He who dies with the most toys, no matter how many people are left dead or in ruins in their wake, wins. The MSM will not dare spin it that way though. Who supplies all those advertising dollars?

The cycle and systems are breaking down. The inequality is getting far to dispersed. The wealth distribution has turned into wealth confiscation, and that has spread up the chain from the poor and is now bleeding into the middle class. The 1% are starting to literally drain the support system dry. A reset is coming. you can see the signs everywhere. How many more factories have to collapse, how many more jobs have to be lost, how many more children have to starve, how many more bank accounts have to be confiscated and controlled before we've all had enough and revolt against the governments and corporate overlords?

And what will happen to the markets when either A) we revolt or B) they've put us all in the poor house? Well, we've already reached B, so I figure A will follow soon enough.

Update:  - And when grief turns to rage -



On to the markets -

Minis 4hrs - Blue channel up into resistance just under the round number 1600 and just shy of an official double top. Indicators on the lower time frame charts are starting to set some rather nasty looking negative divergences. What those mean these days is anyone's guess.

Minis 15m - A more detailed look at the channel and support/resistance.

The two P's folks, patience and prepare. Like TD said in  the NANEX flash crash post earlier this week, did you have a chance to sell into that 150 plunge? Don't think so, and when this thing begins to let go you may wish you were not so greedy yourself.

As usual, more to come below.

Enjoy the weekend.

GL and GB!

Off The Deep End - Morning Charts 04/25/13 SPX /ES

Well, I've finally seen someone respectable come close to predicting what I think the markets will do. With 450 SPX, 10k gold and negative 10yr reates Albert Edwards Bleak Crystal Ball comes awfully close but still may not be dire enough. I've had a SPX 550 target in Sept 2015 on the books for some time now, but that's just a technical point in time. What was Albert's mistake? Assuming there will still be a stock market after the crash.

Crazy talk! Crazy I tell you. Nope, just weighing all the possibilities. First let me ask, do we have a market now? Well .... do we? Really? I see a market there. I see companies listed and prices going up (not down of course). The MSM and CNBSers tell me all is well and to get into the markets. What's not real about it?

The following picture from NANEX and ZH tells you exactly, precisely what is not real about the market.

"Presented with little comment aside to note that based on a tweet, the 'deeply liquid' US equity market collapsed instantaneously as all those liquidity-providing 'algos' jumped ship...

The lower pane shows the market depth disappearing courtesy of Nanex."

And TD goes on to note,

"The good news, if indeed this was merely a test for "the big one", is that everyone managed to sell ahead of everyone else. Right?"

Folks, the only thing that is real about this market are the central bank's unregulated front running HFT algo bots trading the $85 billion per month Fed influx that provide thousands of false sub second market lifting bids that are designed to get you to pay more for every share traded. What the chart above proves is that when the machines leave the market, there is no market anymore.

So, what happens when (not if) the central banks fail and go bankrupt and the machines are turned off? That is a multi-tiered trick question that I do not have time to discuss, but you get the picture. Let me rephrase that, what happens when the global financial system collapses? Ooops, another dodgy question. Do you get where I am headed?

More hogwash you say? Balderdash! The global financial system will not fail and all the global conglomerates will be just fine. (Here I/we jump off to the deep end) Well maybe, but what if the global government structure changes? Care to tell me how much influence special interest groups hold over our government at this time? Who controls who? (I'm about to go all Robo-Cop/Running Man on you)

One word rules the world and controls everything, greed. So what if the end game is they want the shareholders out of the way and want to control it all? Will there need to be a market then? What if after the crash and everything is gone, governments decide to nationalize everything. The Manchurian Manbat just recently updated several presidential directives allowing him to nationalize anything at his whim (he removed the part about national security and replaced that with basically "when he feels like it"). Will there be a need for a market then?

Bottom line is your jobs will be safe, but instead of working for say KO you will be working for the USSA or something like that. You wages will be "donated" to the system and you will receive everything you need to survive from "them". This will all happen after the global pandemic wipes out about one third of the world's population (think bird flu but 1,000 times worse) and balances sustainability and productivity. Wars? After the next one there will be no need for a military anymore and the forces and weapons will be turned on the citizens of the earth. Again, I've gone all Robo Cop on you. Hey, it could be worse. A lot worse. I could have gone Mad Max. In either case - there will not be a need for a market.

I hope you enjoyed that rosy trip into the future. Maybe now you may grasp why the gold rush is on. Owning paper fiat or digital 1's and 0's won't do you much good in that future will it? But believe what you will. It is a hard line to cross. Hey, at one time it was considered lunacy to even contemplate the largest market in the universe could be rigged, but here we are today. Truth stranger than fiction?

On to the markets -

Morning Charts 04/24/13 SPX /ES

What's so sad is that the steam is picking up from the government's end on the nanny/police state development. It sickens me to think of the world my children will inherit and the lifestyle they will be forced to live compared to what I have been able to enjoy. Something about them eating GMO foods and living in a totalitarian state dominated by corporate interests serving as a debt serf to further their survival does not really appeal to me.

The Boston bombing was a horrific incident. Skipping the who dun it, Craft security everywhere, unconstitutional home invasion, armed forces everywhere searching for a 19 year old part of the story; I'll fast forward to the constitutional rape that will come out of this mess. Other than the mass calls for more gun control and the other idiotic whining coming from DC, the worst thing I have seen came yesterday afternoon when none other than our last ray of hope for liberty Rand Paul delivered this,

""I've never argued against any technology being used when you have an imminent threat, an active crime going on," Paul said. "If someone comes out of a liquor store with a weapon and fifty dollars in cash. I don't care if a drone kills him or a policeman kills him.""

When the last lovers of liberty and staunch supporters of the Constitution start to fall, you know the end game is near. Rand, are things so bad in DC that you have had to join the dark side? When Rand endorsed Mitt, I thought something was up and now this? 2016? I don't think so. Not after this.

If you missed America: #1 in Fear, Stress, Anger, Divorce, Obesity, Anti-Depressants, etc.. you need to read it.

"The following is a collection of facts and statistics that prove that America is being absolutely consumed by fear, stress, anger and depression..."

We discuss social mood, awareness and such in the comments below almost daily sharing our experiences with the public. It appears to me that the public is finally beginning to internalize the economic crisis and the effects are beginning to show. After years of denial, it appears the stress of losing the easy route the entitled masses are waking up from their medicated slumber to find that reality is not all it appears to be.

So what happens when they all awaken and find that the banks have stolen everything (as in everything)? Now you see the need for the mass expansion for the police state and the likes of Rand Paul selling out to the corporate elite. May I remind you that you are an American and not a terrorist.


A quick note from STB field reporter Inc on the price of silver - can you say a 50 to 70% premium on the street over spot? If you do not understand the disconnect between paper and physical on the metals markets. If you do not understand why if you own paper that is all you really own. If you do not understand that if you own paper you are going to get wiped out read this post from Zero Hedge.

On to the markets -

Morning Charts 04/23/13 SPX /ES

What's wrong with the following statement?

"Our bias is to expect further declines in gold prices on the combination of continued ETF outflows as conviction in holding gold continues to wane as well as our economists’ forecast for a reacceleration in US growth later this year."

That's from the Goldman Closes Gold Short post on Zero Hedge. As we like to say do as they do not as they say. Maybe Bloomberg still allows Big Gulps to be served at the GS commissary? Don't know, but whatever they are smoking (hydro, synthetic, imported ..) it must be some good shit laced with some serious hallucinogens. I guess that's what it takes when you can apparently lie to your customer base time and time again for your benefit over theirs. Ha! That sounds like our  government.

Anyway, last time I checked the demand for gold has only increased after the fraud committed to the market last week. I suggest you read Aftershock on ZH as well. There the question is asked, "If the FBI can track down two homicidal Chechen nobodies inside of forty-eight hours from their Boston bombing caper, you kind of wonder how come the Bureau can’t detect the odor of racketeering, insider trading, and wire fraud in this month’s orchestrated smackdown of the gold futures markets, including the parts played by the Federal reserve, one or more too-big-to-fail banks, self-interested big money players such as George Soros, slumbering regulators at the Commodities Futures Trading Commission, and tractable editors at The Wall Street Journal and The New York Times? "

TBTJ folks - To Big To Jail is alive and well, and as long as it is all you can expect is more of the same from the TBTF's. It won't be long till there is no gold left to buy on the street, street gold will have a 50% premium to paper, of course at that point they will have crushed the miners to oblivion and GS will still be promoting their short thesis. Maybe the new STB mantra should be "what doesn't make any sense makes perfect sense"? Ah, the new normal.

And to give you that real warm and fuzzy feeling this morning (as if this post has not been rosy enough!) I suggest you read Boston Terror Narrative Falling Apart from Washington's blog and watch the police perform "voluntary" raids on homes in Watertown. Then you need to read this from infowars.com coverring unwarranted searches and the end of the 4th Amendment. Is it any wonder they would not let the press into cover the search? Welcome to your future folks. Marshall law is here. This should make you sick. Wake up.



On to the markets - Not really sure why I continue to cover the markets and chart the farce? Call me a creature of habit and a believer in reality.

Morning Post 04/22/13 SPX /ES

Earth Day! Oh joy! Go hug or plant a tree and then ride your bike to work. Seriously, we need to look out for mother nature. She's all we got and if we all don't do our part to make things better, then ....uh....not sure where we will live. I'll make a simple request, if you don't recycle - do. It is easy and although not much, it is something.

On this earth day - deal with me here you know this is one of my pet peeves and you know that I think disclosure will come at a time when the greatest distraction is needed the most from the coming financial collapse - the movie Sirius will be debuting. You can visit the site Siriusdisclosure.com for more info. Yes, I'm talking ET, disclosure and the latest film from Dr. Steven Greer. If you missed the first Disclosure Project you can see it here. Sirius is round two. Dr. Greer has assembles even more experts and evidence to try and force disclosure that ET's exist. Hopefully this new information will get us closer to the admittance we've been visited.

Nice to know we made it thru the weekend without any more disasters. I guess round one is over. I suggest you realize that these incidents are most likely not over. I do suspect more in number and greater severity to come. I'm gonna hold my tongue on the Marathon incident. I will say I was surprised that the second subject was taken alive.

I suggest that you pay close attention to the disconnect between the demand for and price of physical gold and what the governments want you to believe via their manipulation of the price of the shiny metal. What the MSM tells you is happening and what's really happening are two very different realities. Most know that I think you should be (have been) diversifying some portion of your assets from the dollar into physical (not paper) gold. the last move to save the petro-dollar is underway, but I do not believe they can save it.

Gold - /YG - Gold could have reached a bottom. Some have called the 1300 level as the low point. I'm not sure. As desperate as the Fed is and as corrupt as the gold trade is, it could fall further. I'm guessing 1050 would be the absolute low it could make under severe manipulation schemes. This is where China and Russia really started coming in hot and heavy after the crash. I do not think they will allow these price points to be violated. Bottom line, physical is running off the shelves and selling at a premium to spot. Forget this chart. Continue to DCA into physical gold and silver. I prefer coins in both.