Author: Forex Kong

Your Vice Presidents Son – Now Ukraine Bigshot

Forex Kong 9 Comments

I had to pass this along, in case any of you still have any questions surrounding The United States interests in Ukraine.

Vice President of The United States Joe Biden’s son has just been appointed as a “new director” on the board of directors of Ukraine’s largest private gas producer Burisma Holdings.

Having served as a Senior Vice President at MBNA bank, former U.S. President Bill Clinton appointed him an Executive Director of E-Commerce Policy Coordination and under Secretary of Commerce William Daley. Mr. Biden served as Honorary Co-Chair of the 2008 Obama-Biden Inaugural Committee.

Now Biden’s son is on the board of directors of Ukraine’s largest gas company????

Common on people! This is public knowledge! ( Thanks to Zerohedge for the tip-off ).

The full article is here at their own corporate website. I’m off to the bathroom now to vomit.

http://burisma.com/hunter-biden-joins-the-team-of-burisma-holdings/

 

 

2 Steps Forward – Then 2 More

Forex Kong Got something to say?

The long USD trades ( in particular vs the EU type currencies ) is absolutely killing it, and for the most part – hasn’t really even started yet.

With “The Nikkei” most recently “serving as my guide” we’ll see reversal here today and the “party can get started” with those Yen related pairs as well.

As I’d mentioned some time ago…I’ve long and since stopped worrying about the silly SP 500, as it’s movement has had “very little to no effect” on currency positioning and bigger picture analysis.

It’s a game. And it’s a game that most are losing.

If I could chose to be one thing right now “other than a gorilla” I’d take bear over bull in a heartbeat, and really can’t wrap my head around the logic buying into this but…..

I guess that’s what retail investors are for.

Buying at tops and selling at bottoms.

I’ve got a bit of swamp land in Southern Yucatan here in Mexico you might want to take a look at as well. The markets hot – it won’t be available for long.

Happily positioned “short risk” and only looking to add on any, ANY short term strength.

 

 

Selling At The Close? – So We'll See

Forex Kong 5 Comments

The usual “Monday morning ramp job” on no news, and in fact “bad news” as far as the boys in Washington would be concerned. Let’s see if this get’s sold – particularly in the afternoon.

The referendum results in Easter Ukraine stand to suggest “overwhelming support” to indeed separate / seek independence  from the “Washington agenda” in Kiev. If you still don’t quite see the significance and importance of Ukraine from a geopolitical / economical / standpoint I’d do a little poking around and read up a bit. It’s all very interesting.

Washington’s plans to take the country – now thwarted, as the people of Eastern Ukraine have now made it very, very clear. No thanks Washington…..you can take your war mongering somewhere else.

The “long USD” trade suggested some days ago has been treating us very well, perhaps surprising a number of “non believers”, with thought in mind that USD is toast, and that “Russia and China” are currently “selling USD” as means to retaliate against sanctions.

Ridiculous. If Russia and/or China wanted to do anything to hurt The United States why not “buy USD” and sell Equities? Killing The U.S from both sides of the current “ponzi pond”.

Upward pressure in USD ( as we’ll be seeing over the medium term ) crushes The U.S Government under that huge pile of debt, slams interest rates higher, kills corporate borrowing and drives equity values lower.

I’m looking for significant moves higher in USD in the medium term.

Trades long USD obviously already in great shape here, with lots of room to run.

Gold and USD – Passing In The Night

Forex Kong 8 Comments

With the expected move out of USD coming together over night, we’ve seen more than enough follow through here to confirm what was suggested yesterday.

Stocks won’t hang on here, and I expect the power of the U.S Dollar “repatriation trade” to flatten gold here as well.

For those of you “investor types” I imagine you’ve come this far so a couple more months ( and perhaps further drawdown ) as gold slides into “its final leg lower” likely won’t kill you.

However for those looking at gold,silver and the related mining stocks as a trade….unfortunately – I see lower prices – before higher.

This is no “small blip” as far as USD is concerned, likely marking a significant turn “not only in the currency” but “in all” that it affects.

So far only the European currencies have taken the initial hit, but it won’t be too long now til we see the Canadian Dollar, as well Australian and New Zealand follow suit, and I’m not talking about a trade here……I’m talking about a major shift over the medium and even long-term investment horizons.

Top call still very much so “intact” here as of today – with the “Members of Kong” doing very nicely in our first month working together. Feel free to poke around the members site, and hey….you can even join us if you’d like. I’d take an additional 20 if you want to contact me over the weekend at : [email protected]

Have a great weekend everyone! It’s sun sun sunshine here!

 

 

Next Week's Market Mover – Guaranteed

Forex Kong Got something to say?

It’s now become clear me, what the “media” will sight as the “catalyst” next week – justifying the continued fall of U.S Equity prices.

Even with Putin’s suggestion to “delay” the referendum vote this weekend in Eastern Ukraine ( as Putin already know’s the people of Eastern Ukraine will vote to separate ), the people are moving “full steam ahead” with Sunday’s vote – right on track.

Once the people of Eastern Ukraine vote in favor of separating ( which undoubtedly they will ) this will then put tremendous pressure on Putin to then “step up and protect them”, as opposed to “quietly sitting on the sidelines” as he has thus far.

The dynamic of Eastern Ukraine voting to separate may actually “force” Putin to move forward into the area and “protect those citizens” who’ve will have then clearly pledged their allegiance to Mother Russia. Putin doesn’t want war, and has had absolutely “no intentions of invading Ukraine” even “suggesting” that they delay the vote.

The eager citizens of Eastern Ukraine ( passionate and enthusiastic to join Russia ) may inadvertently put their new leader in a precarious position.

On release of the news some time next week, you can bet your bottom dollar “Russia invades Ukraine” news plastered ‘cross American T.V screens coast to coast, where in reality Russians living in Eastern Ukraine will likely be the ones under attack by Washington’s “puppet army” from Kiev.

Leave the people of Eastern Ukraine alone “Obomba”, and watch these people make this decision for themselves.

Putin has absolutely “nothing” to do with it.

Stocks Up And USD Down – You Can't Have Both

Forex Kong 3 Comments

This is what I’ve been getting at for some time – with respect to the never-ending “money printing” and “phony elevation” of U.S stock prices.

You can’t have high stock prices and a weak currency forever, as “at some point” the scales will tip back, and the currency will rise as assets priced in USD are sold.

You can’t have your cake and eat it too….or at least – not forever.

The Fed “needs” a weak dollar, in order to satisfy a number of its sinister plans.

  • A weak dollar helps “dramatically” when considering the amount of debt the U.S has. Paying out with “freshly minted funny money” has been quite a strategy indeed.
  • A weak dollar helps promote exports and encourages investors abroad to “buy U.S.A” cuz – with respect to your their own currency, everything looks cheap cheap!
  • A weak dollar translating into low-interest rates allows big corporations to “borrow cheap” ( too bad they then just go an invest the money in other countries though eh?)
  • Low interest rates force seniors ( who can’t make a return on savings ) into higher risk assets like the stock market, where they can then be completely and totally fleeced by the Fed’s big bankster buddies.
  • A weak dollar translates into inflated stock prices which deceives the general public believing  that “everything is ok” as long as the stock market remains elevated.

And  on and on and on and on and on…….

As of today….we are FINALLY seeing the inverse correlation of “a stronger USD and weaker stocks” start to take shape..as it well should!

A stronger US Dollar is a complete and total disaster for the U.S economy as along with it comes rising interest rates –  at a time where the U.S is already “practically” in recession.

The Fed has printed America into a deep deep corner as the ship finally starts to turn, with a rising dollar and falling equity prices finally putting the “fundamental balances” back in place.

Eastern Ukraine To Separate – Not In U.S News!

Forex Kong 10 Comments

I can’t believe western news coverage of what’s happening in Ukraine. Outrageous.

Have you not heard the “real news”? Unreal.

The people of East Ukraine’s “Donetsk Region” are holding a referendum vote this coming weekend, with every likelihood of ” overwhelming support” to separate from Western Ukraine, and become another republic of Russia as did Crimea some weeks ago!

These people don’t want to be part of Washington’s circus side-show in Kiev! They don’t want to fall under the rule of the money hungry over lords from the West!

There is no “Russian army” killing the innocent people of Ukraine, no force, no “invasion”! The people of Eastern Ukraine are trying to “leave”! They want to separate! No war / guns needed!

The only group looking to take this out of the people’s hands ( who should have, and “will have” the right to decide for themselves ) is the U.S!

I can’t stress enough the significance of Ukraine and what this represents from a global perspective, and in a matter of days you’ll get to see it for yourself, as the people of Eastern Ukraine vote “whole heartedly” to leave Ukraine and join Mother Russia.

Once again O”bomb”a will be made a fool of ( as he well should be ) continually poking his nose where it most certainly doesn’t belong.

The people of East Ukraine can decide for themselves, and trust me, “not” with guns pointed to their heads.

They want to separate!

USD making the turn here exactly as expected. Markets to continue lower – as expected.

More real time trade chat and daily strategy at: www.forexkong.net

Can Yellen Save The Dollar? – Why Would She?

Forex Kong 3 Comments

I expect U.S Equities to roll over here and continue on their way down.

Perhaps some imagine that Yellen will have something to say this morning to “once again” pull markets back from the impending sell off – but I don’t.

If anything I would more so envision the “opposite” as….if there is anything Yellen “needs to say”  it’s something to save the U.S Dollar from falling much further.

This is very thin ice USD is walking on down here…very thin as the rest of the planet really won’t stand to see this thing ( and their billions of useless USD toilet paper stacked in reserve ) go down much further.

the opposite effect of this falling dollar has been “killing the EU Zone” with a rising EUR as well the U.K, New Zealand etc – all getting a little fed up with seeing their own currencies “flying higher” ( and killing export opportunities ) while the U.S devaluation continues.

And don’t kid yourself…the “QE” hasn’t changed in the slightest as it’s only a couple of numbers typed on a computer ( the tapering whatever ) with no “actual real world application”.

A couple of numbers on a couple of screens at the U.S Fed and Treasury Dept to keep the media spin going. That’s it .

Means nothing.

Perhaps a “tiny hint” that interest rates may rise sooner than later will do it….but then again The Fed “just told you” that won’t happen. Or was it the week before they said it “might”?

Or not? The Fed “loves” a lower dollar…it’s everyone else that doesn’t.

These people are literally “winging it” here day-to-day in a continued effort to rid you of your cash.

I’m tuning in to watch.

 

U.S Equities Top Call – The Top Is In

Forex Kong 5 Comments

Hey you only live once right, and in nailing the Nikkei a couple of weeks ago….we might as well just go for broke here. I’ve got absolutely nothing to lose anyway.

The Top Is In!

Peaking on Friday, and now continuing on its way lower U.S Equities will now “finally” roll on over.

With the momo names in tech “quietly leading the way” over the past few weeks, and the Bank Index $BKX flopping around, we’ve now seen what we might call ” final capitulation” in the U.S Dollar to top things off.

A strong U.S Dollar bounce on “repatriation” will only be fueled “more so” by the selling of equities “also priced in USD”.

The money has to go somewhere right? So when you sell something priced in U.S Dollars that money then goes back into your trade account / bank account and BOOM! USD cash position moves higher and higher.

The coming move in USD should put considerable pressure on commodity prices as “they too” shall fall.

And U.S Bonds? Would you seriously want to own a U.S Bond?

Not me.

We continue to frame trades with a “risk off mentality” including long USD positions as well “waiting in the wings” for  several long JPY positions as well.

The members area now in full swing at www.forexkong.net

 

USD Tanks – The Move Is Suspect

Forex Kong 5 Comments

The U.S Dollar just broke down past the previous daily low, suggesting that either “the big big low” is still out there in front of us….or “this” is indeed “the one” and it’s stretching past any and all technical indicators / levels in order to take out the most players.

I’m sure we can all agree that any given asset “does this kind of thing” at significant turning points, and that “nothing is given to you easily” when it comes to timing these things.

Discussion picks up in the Members Area throughout the day.

That said….further patience is required.

From a fundamental standpoint I find it very difficult to imagine further weakness in USD, and I’m “leaning” towards “this being” the significant low that I’ve been hunting for – although technically we’ve now seen indication that “further lows” could still be out in front of us.

A quick chart:

USD_May_06_Forex_Kong

USD_May_06_Forex_Kong

Considering I am “only now” in the red on a couple of these early entries I am taking profits on GBP/AUD and in turn scrapping NZD/USD for break even, and will remain holding the few smaller “long USD” positions as well short AUD/JPY for the remainder of the day.

This is as close to a “near term bottom” as we can get, so no “panic selling” as that’s what’s expected of retail here.