THE DERIVATIVES NIGHTMARE

“That moment when the market comes for you!”

They don’t play by the same rules … they don’t have the same objectives as you

or I when we trade … they operate in the dark, hidden from view by a complicit &

corrupt to the core financial MSM, who will under no circumstances utter the truth

to the masses … you won’t find them talked about, written about, or spoke of in

B-schools, cuz a B-School’s job isn’t to make you rich, a B-School is there to

train you to be a “worker bee” … why do you think mega high tech & other

corporations fund B-Schools?

They care not about profit, simply cuz they have the CNTRL-P machine for handy

use whenever they feel like using it … EXIT QUESTION: “If you or I joined forces

and tried to manipulate SP500 futures, USDJPY, gold & silver, or any other

market, what would happen to us? … [HINT: “go ask the Hunt brothers”.] … and

yet, here they are every “Hoover Dam” day in markets, looking to destroy specs

whenever & wherever they can … “I’d say in the last 3 weeks, the “Traders

Graveyard” in Murder, Illinois, has seen a good deal of new additions” … quite

frankly, central bank manipulators have made trading a derivatives nightmare!

Which only means one thing, when you strip away all of the bullshit from outfits

like CNBC, Dumbberg, Reuters, and all the other propaganda shitboxes that

want your ear … LEARN TO PROFIT FROM THE MANIPULATORS, and ignore

the Goebbel’s rants you get bombarded with 24/7/365.

Meanwhile over in the faculty lounge, the Twits at the FED have been telling

everyone who would listen for years, that “they have your back” when it comes

to investing and/or trading, and not to worry cuz they have ended the business

cycle … that’s right, they actually believe this … they actually believe that they

can change humans to ignore fear and simply concentrate on greed, and that

asset bubbles can grow to the sky cuz we will make sure of it … 3 weeks ago,

you might have said they have a point … what say you now?

AND THERE IT IS!!! … right at the magical manipulators favorite “witching hour”,

which is around 8 AM EST for gold, here comes the “fat finger” to destroy

everybody who bought gold above 1690 to 1700 on the panic melt up … about

$20 per OZ. in less than 2 minutes … “thank you “Rally Protection Team” [RPT]

pointing out everything I said above in spades”! … and that happens right as

USDJPY goes off a cliff! … buy Yen, sell gold? … sure, whatevs … the entire

system is on full panic, fucking TILT.

Meanwhile, over in the fantasyland of stock indices, the entire complex has

come literally unglued, and there isn't a single index anywhere that isn’t being

blown apart with volatility never before seen … bid/offer spreads are ridiculous,

and I can only imagine the slippage from the scumbag LP banks … quite frankly,

it’s gonna be years before any of these indices return to anything approaching

“normal” … as I have been saying, this is a negative feedback loop at work

… the worse trading conditions get, the MOAR! worse they become, as liquidity

dries up towards ZERO, and price swings get more out of control than ever

… thank you faculty lounge, for enabling a system of bullshit via QE! … this is

your legacy.

Back to gold … I said the other day this market is “crowded” with longs with

nowhere to go … and this highlights in spades what I’ve been saying for like

forever, when you buy rallies … cuz when it backs off, now what do you do?

… you got in on the panic buy, convinced all the stars were lined up for “bigly

& yuge” profits to come, and when it started to retrace, there’s nothing but

trouble … and for the second time in recent weeks, those that panic buy on

Sunday nights get gold shoved up their collective donkeys so far, it hurts their

teeth … buy on Sunday night, and by Thursday, your sell stop gets slaughtered

and you’re down upwards of $80 per OZ. … all in an environment that says this

shouldn’t be happening … yet it is, and there’s the rub … go find the gold

trading book at the bookstore, and find the chapter on the RPT, BOJ, and the

manipulations that occur by them and the BIS … can’t find it? … learn to trade

and make the manipulators work for you.

And now the other shoe is dropping in gold, as liquidation of EVERYTHING is

taking hold, cuz it makes perfect sense to hang on to losers and meet the

margin calls in your dopey stocks, and sell the profitable assets in the process

… right, sure … how many times has this scenario played out in the history of

markets? … and for those “traders / investors / gold bugs”, with a definite short

term opinion about gold, for the second time in less than a month, a collective

group of people got herded up, taken out back, and shot in the proverbial head

… and I understand the proverbial “helplessness” that accompanies this, but

gold is a highly manipulative market by the central banks, and when they catch

people the wrong way, they make you pay for it in spades … in essence, your

“Pavlovian dog” reflexes are being played by them like a violin.

Meanwhile, over in “risk on / risk off” land, a/k/a USDJPY, a whole host of people

are getting USDJPY shoved up their ass, cuz it to isn’t acting like it’s supposed

to … a gigantic reversal day higher, with stocks getting clobbered … and with

each passing hour, more USDJPY shorts [long Yen] are getting carried out toes

up … my advice to them is simple: “since very early this morning in New York,

the “Trade For A Living!” algorithm has been saying “buy mode” in USDJPY

… again, opinions get people in trouble, while traders make money … umm,

which do you want to be”?

Right along with gold, which by the way is technically considered part of “FX”,

hence the symbol acronym XAUUSD, from the LBMA [London Bullion Members

Association”], more people have lost money in FX over the years that could fund

half of Africa for a century … why? … well, mostly it’s cuz they have no idea of

who they are up against, and the lengths the banks will go to run stops and get

you to give them your money … think like the bank, trade like the bank, and run

your trading business like a casino runs it’s operations in Las Vegas, and you

win consistently … is it intuitive? … hell no it isn’t! … that’s why I say to you

over & over again, that you have to wrap your head around what the algorithm

is telling you in real time, and then adapt your trades to that, all the while

ignoring your guts & brains cuz they will only get you into trouble .

While it’s nice to always make money, on days like this your first priority has to

be to preserve capital, and to be very selective in your trade choices … in other

words, make them count.

Now, realizing it’s not for everybody, mostly cuz many don’t fully understand the

concept yet, days like today are perfect illustrations why using binary options, in

CONJUNCTION WITH THE TRADING ALGORITHM, make perfect sense cuz it

limits risk to the size of your bet, without worrying about whether or not the

scumbag LP banks go after your stop … there aren’t any stops … it’s a one-way

bet over a 1M or 5M period, whether price goes higher or lower … it’s on the

PRIMEXBT trading platform, right along with regular trading of FX, crypto, &

various CFD’s … just another reason why having an account there makes sense!

Really, what do you say about days like today? … seriously FUBAR would be

a start … I said yesterday, stock indices are in a world of hurt, and given the scope

of the damage today, that sector of trading has a shipload of liquidity & volume

issues it gets to face in the weeks / months ahead, and with the blow out of the

bid/offer spreads, who the hell in their right mind is gonna trade any of these any

time soon going forward? … and quite frankly, gold doesn’t look much better

from a trading perspective either … look for volumes and liquidity to get even

worse when things slow down a little … again, like so many times in the past, this

market has beaten the shit out of another generation of gold traders, and more

importantly they won’t be back!

Well hello FX!! … plenty to choose from in this space, with USDJPY a “prime

candidate” … some of the others that have potential include AUDUSD, AUDJPY,

EURJPY, EURGBP, GBPCAD, GBPCHF, & GBPCAD … with EURUSD coming off

historic volatility lows just recently, EURJPY has potential with it’s low bid/offer

spread, currently right around 2 PIPS at Turnkey, PRIMEXBT, and at CRYPTO

ROCKET … given the level of volatility seen lately, this spread is a decent tradeoff

for a much more active market … when things aren’t quite as hectic, all 3 of these

houses will have EURJPY at or under 1 PIP.

And here we go! … FED says QE5 … AND … $3 TRILLION to the “repo market”

[over a month, and that’s not a typo!]… good times! … does the virus know of

this? [asking for a friend] … and just like that, now it’s FX that has gone bat shit

crazy in the bid/offer … this had better be the blow off day for markets, cuz if it

isn’t, the entire system of finance as you’ve known it over your life is fucking

O.V.E.R. … this level of insanity and panic cannot be sustained without a full

scale TILT! … I see blood, I see blood everywhere [but not here]!

As I said, the indices markets have gone insane … that FED announcement saw

the DOW30 rally over 1300+ points in 15 minutes, and then in 8 minutes give half

of it back … insane … and the other indices mirror that … this space is dead for a

long time to come, mark my words … when things calm down, the customers

won’t be back.

Well, given the state of the world and the trillions upon trillions that have had

ZERO CHANCE TO ADJUST to the last few days volatility, I’m pretty comfortable

in predicting FX is gonna be “FUBAR-ing” for the immediate future … the

ramifications and consequences [unintended or not] of the FED’s move will be

profound … that spells volatility, and that means profit!

Plenty of algorithm signals today, but I played it close to the vest for obvious

reasons, and had one algorithm buy signal in USDJPY that I chose to take 

… TURNKEY PAMM / MAM UP 0.1%

I don’t know if any of these markets give any credence or credibility to the FED

for their actions … stocks barely off their lows, and USDJPY not really buying

what the FED is selling … about 90 minutes to the close, wonder what the

“Plunge Protection Team” [PPT] has up their sleeve for the last half hour? … am

also wondering if this evening, our BFF “Peter Pan Kuroda” unleashes some

BOJ fireworks in the “pre” Asian session, or after Japan opens … a little “shock

& awe” for the home team to back up the FED … dunno, we’ll see … going into

another weekend and tomorrow looks anything but calm … on a Friday the 13th

of course! … until tomorrow mi amigos … Onward & Upward!! 

Have a great day everybody!

-vegas