Month: February 2016

Brexit Is A Total Joke – Retail Investors Smoked On Pound

Forex Kong 2 Comments

Britain isn’t going anywhere.

In a world where tensions between East and West continue to escalate, do you really think “now” is a time for the West to divide? Not a chance…..not in a million years. Not to mention the fact that the referendum isn’t set to go off until June 23rd! Th pound has been “pounded” down to serious levels of long-term support ( 1.39 area in general ) and has 3 full months to go ’til this “ridiculous exercise in bureaucracy” plays out.

What is happening?
UK Prime Minister David Cameron has announced a referendum on whether Britain should remain in the European Union to be held on Thursday 23 June.
What is a referendum?
A referendum is basically a vote in which everyone (or nearly everyone) of voting age can take part, normally giving a “Yes” or “No” answer to a question. Whichever side gets more than half of all votes cast is considered to have won.

I am looking for serious trade opportunities in GBP over coming weeks, but am patient enough to wait a little longer. We are close “level wise” but timing is always a factor.

USD down as well stocks cratering – as suggested. My first set of orders were picked up last night around dinner time.

Could be in for a “quick hit” here as markets are still trading in a fairly “blurry range”….but I expect downside to continue. Responsible trading has me holding small orders with a watchful eye.

Getting stopped out is a good thing remember….as you can’t win every time.

Key is to just to keep those losses small.

 

 

Forex_Kong_Snow

Stocks Enter New Cycle – Failed Cycle

Forex Kong 1 Comment

Some of you follow cycles, some of you follow astrology. Some of you follow “clown ass donkeys” ’round the internet – looking for advice.

Followers.

Follow this:

I think this thing “kacks out” right around here ( price level wise ) and we get set to follow something alright……..something going lower.

We’ve failed.

The intermediate ( medium term cycle ) has failed and we’ve bounced. Barely bounced.

Risk move lower. Stocks move lower. Dollar tanks. Yen runs…

Monday……. trades get picked up!

 

 

Earth Sells Off Hard – Lower Lows To Follow

Forex Kong 5 Comments

With over a month of inactivity short of holding the same positions, the same strategy as outlined here countless numbers of times – our old friend The U.S Dollar has done us proud.

The “dumb buck” has lost some 1000 pips v.s the Japanese Yen since markets topped some months ago, and has made an equally bad showing against the majority of its rivals.

This has only just begun.

You may recall chatter some months ago about China and a number of other countries moving away from use of The Dollar in international trade, and recent news suggests that now Iran ( with sanctions being lifted ) is looking to sell its oil in Euro only.

Unfortunately you just can’t have it both ways.

Things will only spiral further down the drain when U.S interest rates go negative ( where essentially they are already if you consider inflation ) and The Fed looks to launch QE5.

All those worthless dollars already printed…..and a shit pile more coming soon – to an unemployment office near you. This is no time to be disappointed or upset! Rejoice in your new-found knowledge that the entire “economic recovery” has been a complete and total sham, and be glad you made the realization early enough to survive.

Have you survived? I hope so.

And it’s really not too late…unless of course you are still of the mindset that “The Central Banks” have got your back well then…….one would think you’d of learned your lesson over the past month er so.

Earth is selling off hard. There isn’t a damn thing “they” or “anyone” can do about it.

Global stock markets are literally “tanking daily” and in my view things are just getting started.

From a technical perspective we’ve only just “shaved the top” off this mountain off bullshit, now with The SP 500 still hanging around the neckline area of support – but that won’t last much longer.

New lows…..then even “lower lows” to follow as The U.S Dollar plummets, Japanese Yen come flooding back to the country where they were printed, Euro and GBP remain elevated and the commodity related “currencies” trade flat.

A low in oil at some point ( correlating with the dump in USD ) won’t mean the markets will recover…not in the slightest as oil will then just bounce along said bottom for eternity. No immediate opportunities there.

People are flat busted, food prices are “out of this world” and global economic data is quickly turning from bad to horrific. This is not a blip. This is not a “correction”. This is not a drill.

This is 2016 baby….and it will be one for the books.

 

Dollar_No_More

Dollar_No_More