Saturday, August 2, 2014

Euro Going To Par vs the US Dollar : Martin Armstrong

IBEUUS-M 8-1-2014
The Euro pulled off an outside reversal to the downside (exceeded the June high and closing below the low). The cash closing was 13388 and we elected the first minor Monthly Bearish Reversal leaving us 132-1333 to watch very carefully. We are still looking now for the September turning point. Here the chart pattern is awesome. The Break-Line Channel has performed perfectly capturing the rally and we can see the Euro has been unable to breach that resistance. On the downside, we should be expecting a drop to par in the months ahead.
Please share this article

In some parts of Europe, they are literally giving away land…

The last few years have not been kind to European property markets, to put it mildly.
Ireland, Spain, and Portugal, for example, experienced property bubbles and collapses even more severe than what happened in the US. It was gruesome.
But while some areas have recovered, others are still barely limping along 6+ years later.
Before reviewing the places in Europe that are cheap at the moment, let’s first define terms: what is ‘cheap’? I look at this in a few ways–  (more)

Please share this article

Another Day, Another Sharp Fall in Commodity Prices

by Dan Norcini
Trader Dan Norcini

The Goldman Sachs Commodity Index is currently down 2.4% on the year. Grain and energy prices are continuing their descent. Meat prices are following. As written many times here over the past couple of months, meat prices will be coming down by the time we reach the 4th quarter. They are already breaking down at the wholesale level.
Seriously, I would like any OBJECTIVE reader to take one look at this chart and then tell me, with a straight face, that inflationary pressures are on the rise as it relates to the cost of tangibles.
If that is not enough, here is a chart of the Unleaded Gasoline.
Continue Reading at…

Please share this article

Man Who Executed QE1 Exposes True Horror Of 2008 Collapse / August 1, 2014
Today the man the Fed called on to execute QE1 and who also set up the Fed’s massive trading room, former Fed member and former Managing Director at Morgan Stanley, Andrew Huszar, for the first time exposed the true horror and magnitude of the 2008/2009 collapse.  What he had to say will shock KWN readers around the world.  Below is what Huszard had to say in this remarkable interview.
Eric King:  “Andrew, people forget but you were on Wall Street at the time of the 2008/2009 collapse.  And you were literally called upon by your bank to go in and access those emergency funds (from the Fed).  How hairy was that, those emergency meetings?”
Huszar:  “I actually left the Fed in early 2008, after 7 years there, and I was on Wall Street for about a year and a half before I went back (to the Fed) to help with QE.  And those were hairy days.  That’s the perfect adjective you were using in that we were desperately trying to figure out what stuff, and I could use other words than ‘stuff,’ we could pledge into the discount window at the Fed to get emergency funds to keep the lights on in the morning.”

Please share this article

JC Parets Explains How To Allocate Capital

Please share this article

A Comprehensive Guide to REIT ETFs

For those investors who've lost their appetite for Real Estate Investment Trust (REIT) stocks, the impact of encouraging economic indicators over the past five months should act as an enticement. After bouncing back from a lackluster 2013, this special hybrid asset class pulled in their capital and scored well on the return book.

As per the National Association of Real Estate Investment Trusts (NAREIT), the FTSE NAREIT All REITs Index climbed a decent 14.8% against the 5.0% increase in the S&P 500 Index, from January through May.

Proving their mettle, REITs are again performing better than other stocks -- a feature that makes their addition to your portfolio a strategic one. Sidestepping interest rate issues and the Fed policy, REITs have shifted their focus to overall economic improvement, demand-supply dynamics and the corresponding impact on the rental rates and occupancy levels.

Please share this article

The Big Breakout In Chinese Stocks

Chinese stocks are breaking out… But you won't see it mentioned in the mainstream press.

The Shanghai Stock Exchange Composite Index (the "SSEC") – China's version of the Dow Jones Industrial Average – rallied last Thursday… and broke a five-year consolidating-triangle pattern to the upside. This suggests Chinese stocks are about to rally.

And early investors could make double-digit gains over the next few months…

  Please Enable Images to See this

The SSEC has been stuck in a bear market for the past six years. It's down more than 60% from its peak in 2007. But on Thursday, the index broke out of a five-year consolidating-triangle pattern.

This is such a long, drawn-out pattern that you can barely see the breakout on the eight-year chart. But there's no mistaking it on the one-year chart…

Please Enable Images to See this

This is a BIG DEAL. This is when new bull markets begin. And as I told you in May, the last time the SSEC emerged from a pattern like this, it rallied 500% in a year and a half.

I'm not looking for those types of gains this time around. But at the very least, the SSEC should be able to hit some of the overhead resistance lines on the long-term chart.

The first target is at about 2,500. If the SSEC can rally above that first resistance level, the next upside targets are 2,900 and 3,500. Based on current levels, investors could see gains of anywhere between 38% and 67% in the next few months.

It has been a long time since traders have had a chance to make money buying Chinese stocks. But we have a good opportunity right now. Last week's breakout from the consolidating-triangle pattern signals a major change in trend. And early investors could make double-digit profits in the next few months.

Now is the time to buy Chinese stocks.
Please share this article