Global Economy Bursting?

[Randolph Kinney]

August 5, 2011 - "Rise Of The HFT (high frequency trading) Machine" - Visual Confirmation How SkyNet Broke The Stock Market On US Downgrade Day

The following animated GIF chronicles the rise of the HFT Algo Machines from January 2007 through January 2012.

 

[Mile High Trout]

When inflation finally rears its ugly head and wipes out most of the value of the buck, Bernanke will be powerless to stop it.

"Currency wars."

The AM show is fully devoted to this several hours a day now. Protecting retirement and steering clear of markets that can be effected by foreign currency attack. If it's true what they say;, they state we've got prevention and management efforts the scale of homeland security, examining currency war issues.
http://en.wikipedia.org/wiki/Currency_war

 

[Workbox]

August 5, 2011 - "Rise Of The HFT (high frequency trading) Machine" - Visual Confirmation How SkyNet Broke The Stock Market On US Downgrade Day

The following animated GIF chronicles the rise of the HFT Algo Machines from January 2007 through January 2012.

That is really really creepy.:new_shocked:

 

[Terrel L. Shields]

really really creepy

yeah...but did that kinda keep up real high volumes of trades for several weeks/months afterwards too?

 

[DTB]

Treasuries and gold are a great way to lose money this year.

The decade of the trader is over. It's past time to hop on the bull and enjoy the ride.

I don't know about that but I do like making $180 per contract on the 10 year Treasury futures in an hour (from the open) like this morning.

Short Treasuries from the open today, good jobs report helped push it down quickly. $200 per contract/35 minutes.

Trading does not go into or out of favor as CP would suggest. Tactics may change but the purpose of providing market liquidity does not go away.

 

[Randolph Kinney]

This chart shows US dollar True Money Supply (cash, instant deposits and checking accounts plus a few other minor cash balances) expressed in official gold reserves held at the US Treasury. This has soared over the years, and we can expect it to accelerate further from December’s figure of $31,600 per ounce of gold. Meanwhile, the percentage of TMS actually backed by gold stood at 4.8% at the year-end, and this is shown by the blue line.

The chart clearly shows that while gold has risen dramatically over the last decade in nominal dollar terms, adjusted for the extra money in the system it has only risen 150%. Amazingly, the price of gold measured in these TMS terms has only risen to where it was in late 1991, when the nominal price was $360. Gold’s valuation is therefore still at exceptionally low levels.

America, which has to be the focus of monetary attention, is committed to zero interest rates for the next three years, which is unprecedented. The result is that the price of gold has been left behind by exceptional monetary events.

 

[Workbox]

yeah...but did that kinda keep up real high volumes of trades for several weeks/months afterwards too?

What keep it up also is that every morning The FED buys futures before the opening. There has been so many times when the futures are way down, to only get back up.

As long as The Bernak keep pumping billions of dollars every morning, they will keep this market up. They are still stuck at 1350 and now want to hit the next top of the market which is at 1370. But if The Bernak ever stops with his morning pumps we can go back down to 650.

Right now I am ****ed because I was anticipating a pullback a week ago, but The Bernak screwed the shorts with his morning pumps. m2: I am back in and can see some short action, but I tread cautiously.

 

[Workbox]

Crime Pays

 

[Couch Potato]

What keep it up also is that every morning The FED buys futures before the opening. There has been so many times when the futures are way down, to only get back up.

As long as The Bernak keep pumping billions of dollars every morning, they will keep this market up. They are still stuck at 1350 and now want to hit the next top of the market which is at 1370. But if The Bernak ever stops with his morning pumps we can go back down to 650.

Right now I am ****ed because I was anticipating a pullback a week ago, but The Bernak screwed the shorts with his morning pumps. m2: I am back in and can see some short action, but I tread cautiously.

The only thing going down to 650 is the price of gold. Before anyone gives a knee jerk response consider the inflation adjusted price of gold from 1985 (a few years post bubble) is actually less than $650. Even using some of those "real inflation" estimates the price translates to less than $1,000.

The market is not "stuck" anywhere, but is in a steady upward mode commonly known as a bull market. The days of high volatility were any fool can trade in and out profitably are gone for now. They will be back in a few years, but for now it's all about the individual performance of companies.

 

[Terrel L. Shields]

any fool can trade in and out profitably

I am not just any fool...I'm a special fool - I still buy long