Wednesday, July 22, 2009

HISTORY OF THE US DOLLAR


* On this monthly chart, you can see the 80.00 line of support and resistance the US $ has been dancing around, now it has plunged below again.
I see NO correlation in previous stock market action, as rising $ led to 2000 top and falling $ led to eventual 2002-2003 Bear bottom. But now MANY are saying a "FALLING $ WILL BE GOOD FOR THE STOCK MKT"
Perhaps it is NOW we are fighting the battle between DEFLATION and INFLATION, as INFLATION is the preferred METHOD of dealing with our MASSIVE DEBT OVERHANG.
Perhaps if DEFLATION will WIN THE DAY, it would mean more $'s are being destroyed so they become MORE valuable as debts are repaid in them. CASH IS KING or CASH IS TRASH.
I am trying to sell a piece of commercial property to raise cash for my BUSINESS. Should I get my price and sell at profit, that in this environment would be incredable, we an interested party or 2, I'll update when needed. My hypothetical profit could lead me to believe real estate brought me a pretty damn good return even in this hideous environment, that would be something.
Owning stocks may be losing some luster for a generation. HOW could it be possible for EVERYONE TO WIN? The stock market is a huge PONZI SCHEME, it REQUIRES more and more to enter the game and pay ever rising prices for the paper assets....when that slows or ends...prices fall.
Its also a rigged game, with MANY getting INSIDE info we the people never sniff.....wouldn't that be nice?
You have connected GOLDMAN SACHS people in every poop shoot of the economic and financial and political process, so of course GS would NOT get preferential treatment?
They can now belly up to the FED bar and get monies almost for nada.......is it ANY wonder their TRADING PROFITS are exploding.....who needs to lend money?
Bear, LEhman, Morgan all executed and were MAIN competitors of GS and JPM, their gone now.
No income tax for GS?????????????????? NO repay of AIG $13B monies doled out by an EX GS employee?
ALL this BS is happening right in front of your nose, and we all just bend over and take it?
AVG AMERICAN is suffering, AVG GS exec getting $$$Millions in bonuses.
Last 3 months the BLS (or BS BLS) created over 600,000 jobs......as the CONTINUING CLAIMS was being HYPED because it fell a bit from historic HIGH levels.....NO ONE mention the previous months data was REVISED WORSE.
This is the game being played. This is your stock market where fair play and everyone is supposed to be equal and have a fighting chance.
SHOULD the US $ regain 80.00 somehow...VERY good chance rally will be DOA. Right now it would seem destined for another fate.......being even more worthless than it has become in the world market.
Art Cashin sites SPX 875/6 as one key area traders will key next move off of. IT would seem for now the SHORTS are VERY nervous and if have not already could rush to cover causing another explosive rally.....mkt seems to go up every day.....the new normal is not at all
Duratek

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