Tuesday, March 13, 2012

Keith Barron: Greek Situation Catastrophic, Expect More Black Swans

from King World News:

Today one of the legends in the gold world told King World News the Greek situation will be catastrophic as it plays out over time. Keith Barron is responsible for one of the largest gold discoveries in history and consults with major gold companies around the world as well as international brokerage houses. Barron also said investors should expect to see more black swans on the horizon. Here is how Barron described the situation: “As I predicted, there have been massive payouts due to default insurance kicking in. The banking industry has been looking at this and the individuals involved must be thinking they are going to have the same situation the next time Greece defaults.”

Keith Barron continues: Read More @ KingWorldNews.com

Silver is the most Important Metal in the World, Less above ground than Gold - The uses of it.

There are many that try and get the information out about Silver being rarer than gold. The reason is there is less above ground silver in the world than there is gold. That is why they manipulate it so much too. But at some point the reality of a silver shortage will hit.

This article from Future Money Trends has great information of what all silver is used for and what it can do for you. It purifies water and is used in all electronics besides much more. There is also a metaphysical thing silver does for you. You should wear pure silver if you are going to speak in front of people. It gives the confidence and allows you an eloquent entry and exit. Silver does have a vibration to it.

But for the more practical uses - here are just a few uses:

Silver Antibacterial Bandages
Silver has germicidal effects that kill many lower organisms. The colloidal or ionic silver is a silver solution that is an antibacterial product now sold on special band aids. For years, burn wards have soaked bandages in low concentrations of silver solution in order to prevent infection. Silver has been used to preserve and help save the skin of burn victims. Silver also promotes the production of cells, helping to heal wounds faster.

Washing Machines
Not what you are thinking, so please don’t start taking apart your old washing machine looking for silver. The silver we are talking about is in the new Samsung washing machines that inject silver ions into the rinse cycle in order to kill 99.9% of bacteria that causes odors. By using about 1 ounce of silver, these Samsung washing machines can sanitize over 3,000 loads, this means no hot water or bleach necessary, just a dash of silver.

Food Processing
Silver based food packaging liners that preserve food quality made by Agion. Using an active ingredient of silver zeolite, which is a delivery system that dispenses silver metal ions in a controlled release over time, the silver is able to disrupt microbe growth by interrupting ribonucleic acid that is needed for an organism to reproduce. (more)

Best Stock Market Indicator Ever: Weekly Update

The $OEXA200R (the percentage of S&P 100 stocks above their 200 DMA) is a technical indicator available on StockCharts.com that can be used to forecast conservative entry and exit points for the stock market.

The OEXA is used to find the "sweet spot" time period in the market when you have the best chance of making money. See Is This the Best Stock Market Indicator Ever? for a discussion of this technical tool.

The chart below is current through the March 9 close.

Click to View

After a major S&P correction, the conditions for safe re-entry into the market are when:

a) $OEXA200R rises above 65%.
And two of the following three also occur:
b) RSI rises over 50.
c) MACD cross (black line rises above red line).
d) Slow STO (black line) rises over 50.


The market is tradable.

The OEXA200R remains in healthy, tradable territory closing out the week at 87%.

Of the three secondary indicators:

  • RSI is above 50 and positive.
  • MACD has crossed and is positive.
  • Slow STO is above 50 and is positive.

Goldman's Top Strategist Gives 3 Reasons Why The S&P 500 Will Fall To 1,250

The S&P 500 closed at about 1,370 at the end of last week, exceeding David Kostin's target of 1,250 for the end of 2012. Kostin, chief U.S. equity strategist at Goldman Sachs, told Bloomberg TV that he is sticking by his forecast despite the S&P's recent run.

Kostin said there were three main reasons for his call:

  1. The U.S. economy is stagnating, growing below trend.
  2. In a weak economic growth environment, markets historically have a flat multiple
  3. 2012 is expected to see earnings growth of only 3 percent.

Elaborating on these three key points Kostin said at sub-2 percent, income growth is weak. Also, earnings and revenue forecasts have been cut across all sectors in the last 30, 60 and 90 days. He also blamed rising oil prices and the lack of money flow into the market.

Kostin attributed the current upbeat investor sentiment to solid macro data in the U.S., especially the employment side, the LTRO program in Europe which pumped 1 trillion into the system, and finally some progress in Greece, i.e. the success of the Greek debt swap deal which should see Athens get its second bailout.

Cisco Flashes Buy Signal

Cisco Systems (NASDAQ:CSCO) — This manufacturer of IP-based networking and products related to communications and the IT industry has stabilized its profit margins, according to analysts at Credit Suisse who recently revised their price target to $27.

Technically CSCO broke from a bear market in October and has regularly plotted along its 50-day moving average with corrections being reversed at its bullish support line.

Last week, the stock reversed from a conjunction of both lines and flashed a buy signal from the stochastic. The technical target for CSCO is $24.

Trade of the Day -- Cisco Systems (NASDAQ:CSCO)

ROUBINI: An Attack On Iran Could Cause Oil To Spike To $200

The worse-case scenario is a protracted conflict. If there's an effect on the supply of oil and gas from the Gulf, and production and exports from Iran go for a while to zero, oil could go to $170,$180, $200 a barrel. Then, the question is how long it remains there. Of course, there are now discussions in Washington on how to respond. The amount of oil in the Strategic Petroleum Reserve is finite, but if you're not going to use it in this situation, when else are you going to use it? The reality is that if you think about the last three major global recessions, there were all caused by a geopolitical shock in the Middle East that led to spike in oil prices. The Yom Kippur War in 1973 led to the global recession from 1974 to 1979; the Iranian revolution in 1979 led to spike in oil prices and the 1980-1982 recession; and even in 1990, the Iraqi invasion of Kuwait brought a temporary spike in oil prices that led, among other factors, to a U.S. and global recession. So if the conflict is severe and protracted and the increase in oil prices in significant, I would say we're talking about not just a U.S. recession but a global recession. And this time around, we're also coming out of a global financial crisis where now we have a huge amount of private and public debt in many advanced economies, like we did not have in 1973 or 1979 or 1990. So the global economy could not take a kind of protracted oil shock coming at a time where there's already a painful process of deleveraging, with fragility in the balance sheets of governments and the private sector as well.

said Nouriel Roubini with his frequent partner Ian Bremmer in an interview with Foreign Policy

Kyle Bass: Gold's 'Got a Lot Further To Go'

Chart of the Day - W.W. Grainger (GWW)

The "Chart of the Day" is W.W. Grainger (GWW), which showed up on Friday's Barchart "All Time High" list. Grainger on Friday posted a new all-time high of $213.00 and closed up 2.03%. TrendSpotter has been Long since Feb 3 at $203.06. In recent news on the stock, Grainger on March 5 said it sees FY12 EPS of $9.90-10.65 versus the consensus of $10.51 and that it expects FY12 operating margin to rise 0.10-0.40 percentage points. Grainger on Feb 13 reported January overall sales up 17% and organic sales up 12% excluding acquisitions. W.W. Grainger, with a market cap of $14 billion, offers maintenance, repair, and operating supplies, and related information, to sectors including commercial, industrial, contractor, and institutional. Products include motors, HVAC equipment, lighting, hand and power tools, pumps, and electrical equipment.