COMMON SENSE

Politics Profits and Protection website is developing

by Doctrader

I have come to realize, no matter how smart you think you are, there is always some boggling politician there to take your profits and make life harder for you and your business. All the good intentions in the world mean nothing if you can’t make a profit. As an American, I never thought i would be witnessing the Death of Capitalism and the rise of Socialism.

All the financial problems we have been facing lately are the direct results of governments interfering with the Free Market Capitalism. Since we have the biggest impact on the world’s economy, comprising only 3% of the world’s population, the world will blame The Next Great and Last Depression on the United States.

However, the world fails to realize that we also provide 25% of the World’s Gross National Production.

The world’s gross national production is estimated at $50 -$60 trillion dollars annually. The United states produces approximately $15-$18 trillion dollars. Given the political slant of the news services and the market media matrix, the first finger pointing will begin during the coming Dow Jones Death Spiral.

Those who have a vested interest in continuing the charade of “free market Capitalism” and those who feel the need for ‘the government” to bail out the financial system. The Market Media Matrix includes all the advertisers on the financial shows who make daily comment on the market, like CNBC.

I can’t tell you how many times I am yelling at the idiots on their shows. The teleprompter news readers are dumber than a box of rocks, unless they steal content from these blogs. You watch, they will be using “Dow Death Spiral” by the end of the week. I love when they use the term “investors!” Investors don’t trade everyday, only wall street day traders! Investors for the most part, just ride the tide up and down in the market like a life boat without a paddle. Now the long term investor is beginning to feel the fear, but not from losing, but for selling before the next big rally! Ironic that the politicians are blaming Wall Street for their greed, but I see the greed on main street everyday. You know what they say when you point your fingers at someone? You have 3 more fingers pointing back at yourself. Everyone is to blame, not just Wall Street!

The Dow is down nearly 30% since last year’s all time highs! That should have given you a clue to sell, but not to the idiots at CNBC! They told you to buy more, then when the market was down 3000 points, Jim Kramer told everyone that was the bottom! Oh, well, no one listens to me or Don Harold.

The people who have lost their jobs, homes, and businesses are shouting for HELP from “the government.” The governments’ response to their drowning constituents; throw them and anchor! One thing you can always count on is the “maximum level of incompetency‘ when dealing with the Government. The rules and regulations imposed by governments in order to protect the people has led to the financial pandemic meltdown. The voice of the people is ignored and the politicians are bagging bags of cash.

Democrats may have caused the banking crisis. check this out as reported by Sean Hannity’s special report. Another excellent source of information is Fox News Special Report, “Saving our economy”.

I hope everyone who reads this blog bailed out of this market when i posted my “Dow Jones Death Spiral” 3 months ago.

I feel what happens on Monday morning will be just the tip of the ice berg hitting the world’s economy like the Titanic! At 2:30, the Dow Futures and U.S. Dollar is down over 2%! Asia and Europe are reeling from the bailout plan passed by the incompetent government

As you drive to work, see how many corporate offices and warehouse have “for lease” signs posted on their buildings. Those buildings were largely funded by insurance companies and pension funds. Those failures will make the sub-prime and Fannie Mae losses look like a drop of water in a ocean.

God Bless

Doctrader

This site should be used for educational and training purposes only.

Doctrader’s Harmonic Stock Clock harmonic market cycles, trading and investing. No advice is given. No recommendations given.

You are considered to be over 18 years old.When trading futures,
currencies, commodities, stocks, and options know the risks!

Use all Information on this site at your own risk.

Technorati Tags: economics, financial pandemic, Free Market Capitalism, investor, pension plans, politicians, Politics | Profits | and | Protection, Profit, protect the people, protection, recession, wall

July Highs for the Year

The nimble programmed trading that has been selling 7 to 3 has dramatically been reduced for the last 3 weeks. It seems that programmed trading has abated since the highs earlier in the month of June. Since the high volume spike on the club chart has not been matched with an equal number of share being bought, the market has turned decidedly bearish despite the “high faux earning reports” generated by accounting tricks and the market media matrix. In my previous post, I warned long term investors to liquidate 1/3 of their positions as prices crossed down through the harmonic stock clock signal lines. The Dow Jones Index is struggling to keep the bull market attitude, however the yellow signal line above the red signal line should cross down this week completing a failed triple bottom. Unfortunately for the long term investors who have received their quarterly reports which ended in June, the market’s window dressing has not instilled a wide spread fear of losing all their paper gains over the last two years. Some individual stocks have retraced their advancement back to the 2002 lows, which should lead to some capitulation , mainly in the Nasd stocks. Looking at the Russell 2000 stocks, the bottom 500 stocks offer a glimpse in the future of the current leaders in the small capitalization stocks. The Russell 2000 Index is also testing a triple bottom with failure leading to a capitulation. The Standards and Poors 500 Index has 212 stocks trading be the harmonic stock clock signal lines. The Nasd market is in capitulation phase which should conclude by the end of the year when 90% of the stocks are trading below the red signal. Currently there are 78 stocks out of 100 which are trading below the red signal line.

Traders have had a tough time because of the “volatility” and geopolitical ramification. Those who are trading should love this market, just follow the harmonic stock clock signals for the short term trend by either going short or long for quick profits. Pick any Nasd 100 stock and compare the chart with my Harmonic Stock Clock Signal lines. You will see the direction of the trend, short and long term. When the signal lines cross downward, there is a harmonic relationship between the lines. Since a picture is worth 1000 words, the trend should be easily identified. The short term trend always is based on the green signal line. The yellow signal line will be the resistance or support of short term prices depending on the positive or negative slope of the yellow signal line. A positives slope using the hands of a clock will be pointing to 1,2, or 3 o‘clock. The long term sustained trend being in the 2 ‘o’clock range. A negative sloping signal line will have the hands pointing from 4, 5 or 6 ‘o’clock. The sustained long term down trend is when the yellow signal line pointing at 4 o’clock. Remember the market will use these signal lines as support and resistance, bouncing off these signal lines like a pin ball bouncing off bumpers. You should see prices touching the green signal line within 9-18 trading days for “grounding” as explained in my book. You will also see super bounces and super retractions when price trade through 1 or more of these signal lines.

Speaking of my book, I have not finished the updates and will plan for a September release, have been having too much fun trading. There are many changes with technology and electronic publishing and am thinking of doing an online tutorial program or using the website as a training tool.

Lastly, if you have been loosing money trading and are frustrated, take a break, go on vacation and relax, these are turbulent times.

Usually, 80% of the time the market has reached it’s high for the year in the July, then slowly sells off during the last part of the year. The Bernanke bounce should not attributed to his testimony, but on program trading covering their shorts with option expiration ending last Friday. The fact that there was no follow through on the next day indicates it was a short squeeze covering play, nothing else. Turn off the Market Media Matrix, and concentrate on following the signal lines either short or long. We are at a point in time, where some of the signal lines are crossing and beginning to turn negative, so there will be volatility until the after the August Fed’s meeting.

Some stocks to take note of for the next week are Yahoo, Intel, Dell, Microsoft, IBM, Citicorp, Proctor and Gamble, 3 M, Honeywell, Verizon, Walmart, Pfizer, Caterpillar, Exxon, Boeing, United Technology, Altria and Google.

Good Luck
God Bless
Doc

Doc’s Harmonic stock Clock is intended for stocks, options, futures, commodities, and currencies trading.
This site should be used for Educational purposes only.
No advice is given. No recommendations given.
You are considered to be over 18 years old.
Doctrader’s Harmonic Stock Clock is based on technical market indicators which may predict short term and long term market trend reversals. Doctrader is not an investment adviser but has been involved in the markets since 1985. No system of trading or investing can prevent losses, you should do your own “due diligence” when determining the suitability of the information contained within this or other websites mentioned in this blog.

Use all Information on this site at your own risk.

God Bless

Doctrader

Technorati Tags: bull market, Early Warning, economics, July Highs, market cycles, Russell 2000 stocks, window dressing

Ben Bernanke Bounce, NOT

Everyone, not just those who have losing money on the wrong side of the bear market, have been waiting for an excuse to manipulate the market to move higher ground. The Harmonic Stock Clock signaled to go long for the Dow index around 10280, letting you ride the bull for over 100 points.

The market tested the floor right after the master harmonic pivot time, then screamed higher over the next hour. It just took a little buying in the pre-market to get the market’s fear going for a short squeeze. It is very funny, in my last post I warned about the market’s fear of missing a rally. Well, if you had been using my Harmonic Stock Clock trading system, you would have recognized the “big move” upward crossing my key signal lines in this morning’s trading. The Bernake bounce…lol had nothing to do with the market manipulators buying long future contracts on Monday morning to create an artificial bounce, one week before the Federal Reserves Fiddles again with the prime rates. Yes, that is right folks, the Fed will raise rates up again next week, and they will continue to do it in December’s Federal reserve meeting. The sad truth is that no one, not even the Federal reserve can control inflation, and the fed has always been behind the curve gauging the economy’s inflation /deflation curves. I pointed out in my post last week, the hedge funds would hold the markets at a stable area before the retiring Alcalde of the Federal Alcazar would be replaced by yet another “accommodating academic administrator.”

Meanwhile, the Alcazar’s calculations for inflation are absolutely worthless to those who ingest carbohydrates and use hydrocarbons, yet, the government is increasing the social security benefits to retirees…maybe to offset the inflationary cost of food and energy.

The last time the Dow posted such a strong one day advances of plus 120 points, was on 10-19-05, 9-06-05, and 7-08-05, when crossing the Harmonic Stock Clock Signal lines. The biggest losses when crossing the Harmonic Stock Clock signal lines were on, 6-23-05, 2-22-05, and 10-??-05. Even with two days of triple digit gains, the Dow the sp500 are still below 2 of 3 signal lines, while the NASDAQ and rus2k are above 2 out of 3 signal lines.

I don’t know where we are going from here, but keep an eye on the signal lines for your short term trades and your long term investment bottom line. This is the perfect time for traders to trade, as long as we don’t hit the trading curves, this market is giving you a license to print money. The market’s direction is only temporary, if there is follow through on Tuesday and Wednesday, then going higher will be based on the greed factor of those who will have made a huge profit since the lows this morning in pre-market trading.

You can get more information on the Harmonic Stock Clock here. www.doctrader.com
Good luck,
God Bless
Doc

Ps. Check my blog out, I have posted market snap shot pictures there.

Technorati Tags: banking, ben, Ben Bernanke Bounce, economics, hedge funds, market cycles, programmed trading

Doc’s Harmonic ClockThis site is intended for Stock Futures Index trading.
This site should be used for Educational purposes only.
No advice is given. No recommendations given.
You are considered to be over 18 years old.
Doctraders Harmonic Stock Clock predicts market reversals.
When trading furures,currencies,commodities, or stocks in world markets.
Use all Information on this site at your own risk.

God Bless America

Doctrader

LEPIDOPTERA SECUNDUM part II

By Doctrader

Is seams ironic that unique names do mean something. Katrina is shaping up to be one of the biggest and costliest hurricanes of this century. The butterfly (lepidoptera) effect could be the straw that breaks the camel’s back of the U.S. economy. I take notice that the “Alcalde” is far away from the storm in Jackson Hole, Wyoming. Last week in “The Butterfly Effect” , and in the Alcalde’s speech a few days ago, the ability to predict the future effects on economic condition are limited. The Fed is using risk assessment, to determine costs vs. rewards when gauging economical policies. The Federal Reserve Banking system was designed to weave crinoline into the patch work financial system to soften the blows of recessions and depressions. Yet, I contend, “bon gre’, mal gre’” (willingly or not), more harm, more uncertainly, has been created by the Alcalde from creating disquietude with his disquisitions and proclamations. The Federal Reserve Banking system assumes the role of risk management, weighing outcomes, without considering the “homme moyen sensuel” (the average man on the streets).

For example: The stock market bubble created by the innovations and the abundant liquidity trap that was allowed to build creating a tulip bulb calamity within the NASDAQ market place. Yet earlier in the 1990‘s, the Alcalde cried “irrational exuberance” when human nature drove the indices to higher ground, well below the precipice of 2000. Yet, after the market exceeding the “irrational exuberance” comment, the Alcalde revised his expectations of the future lofty levels by saying he failed to account for the productivity curve. Following the decimation of the NASDAQ market, the Federal Reserve entered into a series of aggressive interest rate cuts, creating trillions for the bank board members with failing bond rates. Meanwhile, disencumbering millions of small investors of 9 trillion of paper profits. The member banks, begin to shift their new found wealth with in the form of real estate to finish the coup de gra on the middle class. The new bankruptcy laws that will be in effect in October, have guaranteed the member banks to inherit most of the real estate, should there be an economic collapse. One thing that never changes, there will be, by human nature, another economic collapse caused by the butterfly effect.

Last week, the stock market continued it’s slow and measured decent below the signal lines on the daily chart. There are several reasons for a slow decent, one is that of massive program trading, which continues above 50% level. The high level of program trading indicates big money managers slow taking profits and buying portfolio protection. The second reason, is most active traders have been on vacation during the month of August. This may soon change, as Katrina builds more energy with the emerging sunspots and possible solar flares dump more energy into the earth’s biome. The end of the month window dressing for mutual funds, who do not want to hold onto their laggards during September may begin to raise cash for emergencies and contingencies related to Katrina.

The McClellan Summation Index continue its downward slope.

My trend indicator indicates 205 stocks of the sp500 are trading below the floor. While the percentage of stocks trading above their 200 day m.a. is at 63% Since this cyclical bull market begin in March 03, the percentage of stock trading above their 200 dma has ranged from 25% to 90%, reaching its precipice exactly 1 year later in march 04. The March 04 precipice followed the fibonacci retracement of 50% to exactly 45% of the stocks trading above their 200 dma. I posted the charts in the club site. Those who have studied the fibonacci numbers can see the significance of the numbers and what the future may hold.

If you are a long term holder of stock, have you bought insurance yet on your portfolio? What?! You didn’t know you could purchase insurance against catastrophic losses? You think the Federal government will come to your aid like the victims of Katrina? Did the Federal government or agency come to your aid when the NASDAQ market fell? What has changed since then? If a rising tide lift all boats in the stock market, then what does a sinking boat offer?

So how can your protect your portfolio with insurance? You have to purchase put options, which will offer you some protection against catastrophic market collapse by increasing in values as stocks prices fall. The CBOT offers for free, and excellent option software and training program, which you can use to determine how to protect your portfolio against losses and to maximize your portfolio with income in stable markets. I have post a link at the free club yahoo users group, docsstockclock.

God Bless,
Doctrader

Technorati Tags: crisis, economics, hurricanes, LEPIDOPTERA SECUNDUM, liquidity trap, programmed trading, window dressing