Saturday, April 14, 2012

An illustration of the corrupt cartelist "capitalism" you so love

Sheila Bair, former FDIC chair, came out with a WaPo op-ed this week that illustrates just how corrupt the United States is:

Fix income inequality with $10 million loans for everyone!

Read it. Then ask yourself "why would this be an unreasonable idea?"

After all, if the Fed can hand out trillions in free money (via ZIRP) to the banks so that they can invest it interest-free and earn an income via a carry-trade, instead of producing anything of value, why can't the Fed do the same for all Americans? Wouldn't that be a good idea?

If I recall, the same thing was said in 2008, when people asked "instead of handing out a trillion dollars in free money to bail out the banks, wouldn't you fix the economy faster by giving out a trillion free dollars to Americans?" Y'know, "velocity of money", "Main Street versus Wall Street", and all that?

Of course, you can't do that. The ruling class would exterminate you before that ever came to pass. The average people are slaves, and the cartelist/bankster/secret-society class are the masters.

Anyway... read the article. Nice to see that even a bastion of elite bankster fascism like the Washington Post can, once in a long long while, provide some lip-service to the idea that the government is supposed to serve "We, the People". Then again, I guess they can't allow Matt Taibbi and Rolling Stone to become the go-to source for economics, can they?

Friday, April 13, 2012

for the next 18-36 hours, this is the most popular meme on the internet

So, there's this site called "whatdoestheinternetthink.net". You type in a word and it tells you what the internet thinks about it. And it's now become the funniest thing of the last few hours on memebase, til people get bored of it and go back to Sad Keanu/Wondering Keanu/whatever they were on last week.

See? Here's an example. You type in Rick Santorum and...


Wait... what?!? Well, I guess there's a lot of stupid people on the internet after all.

So what about the secret conspiracy of evil bastards who are trying to enslave us all? Surely the internet's against that! Let's see:

Hm... indifferent, eh?


Really? Positive? As in these guys could screw up and still win an election. Why then do they still run under the Democrat/Rethuglican banners?

So... I got bored. So... I went for the naughty stuff.


Seems legit to me....



Ah-ha! That's the problem! It's the ugly ones that drive everyone away.



That's rather... um.. shocking.

Friday videos: this is the end

Here's a song for all the tormented goldbugs out there who have recently traded in their exploreco stocks at pennies on the dollar - and invested instead in shotguns, heavy rope, or rubber hose at about the circumference of an exhaust pipe.



Unlike other once-good-but-now-execrable quartets, The Doors had the good sense to have their annoying pompous singer kill himself after just a few albums.

Unlike, say, U2. Just imagine how much better U2 (and the world, actually) would have been if Boner had offed himself right after they put out War.

gold, and spain UPDATED

Questions for the hypothetical reader who went hypothetically bullish yesterday hypothetical afternoon:

As for gold and the miners: you knew the market was goosed by Janet Yellen yesterday, so why did you think this could be the bottom you were waiting for?

As for Spain, their 10Y yield is back up to 5.93% as of this sec. And the UST 10Y is back below 2%. Considering you're so close to skirting a precipice, why would you have expected a major risk-on sector like the miners to recover right now?

Given the above, then, why'd you buy BTO at $4.20 and GUY at 15% above the previous close?

UPDATE:

Oh, here's a great animated gif for Otto to use with every story about dumbass "investors" buying shitty stocks:

Shit or get off the pot day for the miners


$HUI did little more yesterday than reach up and kiss its EMA(16) and gap-fill, which it's done before in fakeouts. I want to see more than this before I wade back in.


I don't find $HUI impressive, since gold has broken above its EMA(16). In fact, compare these two charts and you'll see a relative weakness in $HUI compared to the miners.

At the same time, Spain and Italy's yields are still in the danger zone, and gold can turn around and become a victim of a liquidity suck. Gold miners are also a risk-on asset, which also could mean weakness in the face of Euro crisis. Plus, China weakness could be construed by some as being a possible cause of gold weakness in the future.


GDXJ also did little more than kiss its EMA(16), which again could be a fakeout.


And silver, which seems to correlate well with GDXJ, looks better than GDXJ... but silver is an industrial metal used in batteries and solar cells, and so it could also go weak on China ecoonomic doooom.

So, all told, not exciting yet. But it was funny to watch some companies (GUY, BCM, BTO) catch heavy huge bids yesterday.

What'll happen on a day of weakness?

Will everyone pile in, trying to front-run the newsletter writers who they expect will sound the "all clear" this weekend?

I think I have a day or two to wait, to see if these little upticks resolve in major upmoves in the miners.

I also find it funny that the guys who were just days ago calling for GDX $40, or $HUI 320, are now all of a sudden going bullish - in the face of a possible top in the $SPX/QQQ, and in the face of weak China growth, and in the face of possible Spain/Italy debt crises.

Sure, the chart is the chart. But... the chart was also the chart a couple weeks ago when you guys were calling for gold miner doooom too, y'know!

Wednesday, April 11, 2012

Breaking news: Canaccord seeks vengeance upon critics, shoots self in left testicle instead

I saw SWD got puked down to $1.40 or so this morning, and said "WTF?"

I refreshed, it was back up to its previous range. Went to my brokerage account to make sure.

Went to tmxmoney.ca to see who did the puke into non-existent bids. Here's a screencap for you, sorry for it being blurry for some reason - you can click on it to see it without the blur:



Hover-over shows that the seller, House 33, is Canaccord.

Actually, come to think of it, this mustn't have been an attempt to screw over one of Canaccord's most public critics by puking one of his/her favourite stocks, cos I think the strikethroughs mean that Canaccord is now busy trying to reverse these sells.

So either that volcano in Colombia, 120 miles away from Titiribi, just erupted at 11:35 EST and someone at Canaccord decided to puke on sight, or... or... someone's just got a fat finger? Can't be retail - we don't have the right to cancel trades, only the fatcats get to do that.

I don't get it. But it looks funny and I know it will give someone a chuckle.

Tuesday, April 10, 2012

a funny thing happened on the way to the black abyss of infinite dooooom

Funny thing today....

S&P and Q are puking hardcore - down over 1.5%, pretty good for recent memory.

And yet? And yet?

Silver's up. Gold's up. Even GDXJ is up.

All due to a spike around lunchtime. I guess the Europeans are fleeing into gold now? What else could the answer be?

Now, do you think the miners will be able to continue to go up while liquidity collapses and the stock exchanges fall to bits as Spain and Italy implode and the European banking system tumbles into a smoking fetid ruin?

Or will the miners do this?:



I guess that's the question, isn't it?

Just for Otto

worldwide markets death pool: how low can they go?

Spanish 10Y yield is reaching up and tickling the hairy perineum of 6% this morning. I assume that means there's fear.




As of right now, copper is broken. Dooooom for the world economy, is it? Or rather just a liquidity suck?




US10Y as of yesterday broke. Then again, it's only back where it was during the last dooooom.




JNK:LQD, one of Gary T's more favourite sentiment indicators and one which is fairly easy to understand, is also quite broken.

Monday, April 9, 2012

Fortuna death pool: how low can it go?

FVI's down to $3.95 as of this writing, day's low of $3.88.

How low can it go?

Wow, it's nice to have cash on the sidelines and a desire to stay out til the market stabilizes.

Sunday, April 8, 2012

Rob Pease from SBB on BNN

Here's a link to Rob Pease from Sabina, on BNN. He doesn't talk much about Sabina though.



And... um... you can see why.

With a smile on her face, she twists the knife

Here's R Daniela, interviewing a couple people last week about how gold has hit its peak and it's all going to hell from here:



some explorers & developers' charts for you: XG, SUE, GIX, MAY, KOR, LYD

All I can say is Otto's mentioned XG in the past as an acceptable way to play the recent Argentina scare (though it was never a reccie) - when was that, October? I have no idea if it's a good property. I do have an inkling that it's been plugged by the worse of the newsletters out there, so maybe it was their readers puking XG this past month? Or maybe the recent shitty financing is causing the tree to get shaken a bit? Chart shows about 80% upside, if only they could clear up the whole PEA scandal.



Jojo said he liked MAY at the PDAC talk. I still haven't gotten around to reading about them so for all I know this is a hole in the ground with a liar on top. But it looks unbroken above $0.90, and seems it topped recently at $1.50. Looks like a good chancey play.


I don't subscribe to Brent Cook's newsletter, so I have no idea if he dumped LYD recently. Maybe it was just this nasty jab from Metal Augmentor that did it? In any case, $2-$2.20 is the utter absolute floor for this stock to remain unbroken. Brent did say, repeatedly, over the past several years, that LYD is definitely going to be a mine, absolutely certainly get bought out, absolutely totally be low-cost, absolutely posimitibbily going to be a politically safe jurisdiction.

If you want to trust him, it looks like there's 30% upside on this, plus a buyout premium if you feel like it.



This is another one Jojo mentioned at PDAC, and in his disclosure in the recent Gold Report interview it's listed as one of the two discussed stocks that he owns. I know nothing about it. Chart looks strong, but I have no idea if there's any upside to this.



GIX is pumped by Grandich - but also another guy (Lawrence ?Roulston maybe? I forget). A vague cross-eyed glance at purported numbers suggested this one's to da moon Alice, but then again there might be something wrong with it if Grandich is pumping it. After all, it doesn't matter if he owns 2 million shares of GIX (cough cough Evolving Gold cough cough).



Used to be Otto once in a while talked about Sulliden. Looks crapped out all to shit. Dunno why. Apparently they have gold and stuff, and someone might like to buy this property.

some miners' charts for you, in anticipation of Monday not sucking

FVI has been utterly decimated. But I'm sure someone this weekend will be insisting in their newsletter that it's unjustified and pure nonsense for FVI to have gotten dumped to $4.12.

For what it's worth, I could imagine FVI getting decimated simply cos everything else was being decimated.

RSI(8)=22, so it's oversold. Then again, a bad stock can stay oversold for a long time. So the question is, is FVI a bad stock?

I don't want to buy a silver stock if there's fear of a world slowdown, because despite Ron Paul's theatrics and Eric Sprott's invisible friends, silver is an industrial metal. And if silver gets hurt from here, FVI can continue to languish.


DPM looks quite strong. MACD can cross up. EMA(8) and EMA(16) are close by, but it's only got about 10% upside to its previous peak. I don't know enough about Dundee to determine if it has more upside than this - but it looks strong, anyway.


BTO looks stellar. EMA(55) was ironclad support in this uptrend. $4.12 and $4.15 are the close EMAs, and I do know enough about BTO to know that there's a lot of development in the pipe, so a lot of upside from here.


AR is a hard read. Its chart looks like puke. For all I know, it's got a date with $6. But the anonymous voices of the internet say that it also has a lot of development in the pipe and so should be going back up. It has a lot more upside showing on the chart, but how much of that movement above $8 was just a bubble?


RIO also has ironclad support with the EMA(55). And it went down recently on piss-poor volume, which tells me there's no real reason to be worried. But then again, if the world economy slows down, and silver and copper both take a hit, will that kill the BVL? RIO is cross-listed in Lima, remember. Will the hot-headed Peruvians start dumping RIO if they see their own market tanking?

Jesus jones, it really looks like a person fishing for upside is going to have to look at ... gasp... the explorecos and development companies. Y'know, GIX and SUE and XG and shit like that.

Indian jewellers call off strike: gold may now begin to go up again

It must be true cos it's on Reuters:

India's jewellers call off strike

I only looked it up cos I logged in here and saw on the Kitco plugin that gold was up significantly. Well... not significantly, more like 1%. But for 20 minutes of trading, that's sure nice.

And it proved my suspicion correct, which is also nice cos I was kinda worried about the gold sector for a while there.

Now, with gold spiking up tonight, it'll be interesting to see what happens next week with:

1) silver
2) the junior miners
3) the analysts who spent all weekend searching the internet for how to make a noose.

Of course, Friday's US jobs report was uniformly derided as horrible. (Which isn't true - it was retail that suffered, and the fact that food service was still good shows it's not because of a lack of consumer spending. Rather, it's probably because the retail sales world is being decimated by internet sales.)

So, with a bad US jobs report, does the fear of a US slowdown/double dip come back? With the associated assumption that the US will soon get more free crack quantitative easing?

Which means Americans (who think the whole fucking world revolves around them) thinking that this is the reason gold's going back up, so let's buy buy buy all over again? Even though it's not up to them, it's up to India? Cos the US doesn't buy any gold, it's India and China who buy the majority of all gold production? So, y'know, the American gold bugs should all shut the fuck up about their Ludwig von Mises and their Ayn Rand and their Ron Paul and their fucking fiat Weimar Zimbabwe?

It'll be especially interesting if the S&P goes down but the GDXJ starts going back up. I don't expect that to happen, so it'll be interesting to me if it does.

Anyway. Nothing I can do about any of this shit tonight. I'll be happy to buy back BTO, possibly AR, an outside chance of RIO, maybe DPM, and maybe even a shit-ton more FVI at newly distressed prices. I'll have to watch, though, to make sure they're looking good re their EMA(8)s.