Thursday, April 15, 2010

MO MONEY update I

Phenomenally accurate forecasts



Better take a mental snapshot of yesterday’s glorious economic news, since it’s hard to imagine things will get much better. Retail sales for March were up a reported 1.6%, the service sector supposedly is rebounding nicely, and big-ticket items are starting to sell like it was 2006 all over again. Economists were ecstatic, of course, since the torrent of good news allowed them to upwardly revise their forecasts for 2010 and beyond. Nor were the sunny tidings confined to Main Street. Over on Wall Street, J.P. Morgan weighed in with a 55% gain in profits for the first quarter, amounting to a tidy $3.3 billion. Much of it came from their trading desk -- and a good thing, too, since we’d have been gravely concerned if their best and brightest had somehow failed to make money betting the “pass” line on a stock market that has been rising on maybe eight days out of ten in recent months.



And rise once again they did yesterday, surpassing yet another Hidden Pivot target with effortless aplomb. We’d been using 11077 as a minimum projection for the Dow Industrials for the last several hundred points; yesterday the blue chip average hit 11125, exceeding our mark by 48 points. A companionable target in the E-Mini S&P gave way almost as easily, implying that buyers are not yet finished.



Cool Ben



With all the hoopla and hubris, leave it to Helicopter Ben to totally keep his cool. Here we have an economy that is going absolutely bonkers, and the guy insists there is little to fear at the moment from inflation. This obviously was music to Wall Street’s ears, since it means that no matter how strong the recovery gets, the Fed sees no great urgency about raising the federal funds rate. We love the way Bernanke’s amen corner at the Wall Street Journal put it: “His inflation assessment gives the Fed room to be patient about raising rates.” Is “patient” the perfect non-word here, or what? Easy Al Greenspan himself could not have come up with a more innocuous way to describe de facto easing in a financial system that is already glutted with government largesse.



So now we get to imagine GDP growth barreling along at 5%, but with 4% mortgages and even lower rates for the 10-Year Note. If these things should come to pass, the Dow Industrials will probably trading above 20,000. Isn’t it time to spend some of the anticipated gains at Best Buy? That would be pretty patriotic, actually. the END That was from Rick's Picks..

Part II
On the run right now but ya gottal look at this ....it really has a nice "fit" to it. At least from my ponzi perspective

http://www.kitco.com/ind/Conner/apr132010.html

update I (Reuters) - Gold climbed toward $1,160 an ounce on Thursday, defying a stronger dollar against the euro, as lingering worries over Greece's debt crisis boosted buying of the metal as a hedge against uncertainties.

Bullion's gains in the face of a stronger greenback indicate that the negative correlation between the metal and the dollar has lessened as problems in the euro zone prompted risk-averse investors pile into gold as a safe haven.

"We have a disconnect between gold and the dollar, and that will continue as long as Greece and the euro zone are still in the news," said Frank McGhee, head precious metals trader of Integrated Brokerage Services in Chicago.

Euro zone ministers agreed on Sunday to make available 30 billion euros in loans with a further 15 billion from the International Monetary Fund. But uncertainty remained over how the financial assistance would be implemented.

"Until there is a firm resolution, you will continue to see gold to benefit despite euro's losses."

Spot gold was at $1,158.90 an ounce at 3:07 p.m. EDT (1907 GMT), against $1,153.90 late in New York on Wednesday.

U.S. gold futures for June delivery settled up 70 cents at $1,160.30 an ounce on the COMEX division of the

15 comments:

  1. Jeeeeeeeeez that gap fill on my miners was so quick I missed it when I blinked.....shiiiiiit

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  2. did buy some CAEI for a lark....

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  3. kli, Joe's main picks SWC and SGY been great especially since early February after the modest correction market had.-Jim

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  4. Joe, finally sold my LCC shares I bought at 2.90 after your recommendation for great profit, thank you sir.-Jim

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  5. Jim,

    You and nancy have been kicking some serious butt, glad you are doing fine.

    Joe

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  6. Hey, joe. Speaking of which (kickin'), look at the short squeeze on ands today. I think the main thing you taught me is to have some patience. Unfortunately, sold all of my lcc too early, but made huge profits in short time period anyway. Have a great day...Nancy

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  7. Correction--ONE of the main things! I guess picking the winning stocks. Not sure whether ANDS is ss or really good news, volume is phenomenal. - Sis

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  8. Nancy,

    Today's action on ANDS is short squeeze due to the following news, the next two sessions will tell whether it has legs or not:
    http://finance.yahoo.com/news/Anadys-reports-positive-data-apf-2965780236.html?x=0&.v=1

    Joe

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  9. Hi Joe,

    Sorry, nothing good to report from my part of the world, yet! lol... I did make a little on some quick trades but nothing to write home about... sold PAL too early, look at it today... sorry I missed ABK, wasn't around that day...
    bcbk

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  10. nancy,

    52 week low for ANDS is around 1.50 and at current price it's not a bad buy and hold and average down in the case of downturn, risk to reward issue is not bad, requires patience, their outstanding shares and float is low which is good.

    Joe

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  11. Red,

    check out ANDS, low is about a $1 down from where it is now and high is around $6, low float and outstanding shares, this one has nothing to do with direction of market since it's pharm stock. Risk and reward not bad at this level, easy to average down since bottom is only a $1 down.

    Joe

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  12. ANDS gap is at 2.61, let's see if MMs fill it today.

    Joe

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  13. For anyone who'd like to play miners, I like GBG at this level too... volumes have been decent as well, though it's on the low side today...
    bcbk

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  14. my miners core is at a low here ....so lettum sink this pig tomorrow ....i wanna reload for the run to glory.........

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  15. Hi Joe Brought back the shares of SWC I sold on the 14, Will sell those in the morning. Do not like to hold over the weekend. Thanks again for your help. Woodcarver

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