THE RED TERROR

“Warning Will Robinson! … beware the red terror M1’s!”

The Norks, ChiComs, and/or Ruskies? … nope … it’s the “red” M1’s that

seemingly come out of nowhere and strike terror into the minds & hearts of

traders worldwide … “oh sure, it’ll come back … right, sure … and 3 minutes

later it’s 5X worse”! … and it only gets worser-er-er from there … stock indices

& gold? … these are the prime candidates for this terror … as I have stated

many times, you had better sell it [liquidation of longs] on the spike up, cuz if

you’re 1 second too late you’re toast … not all the time, but too many times, cuz

there aren’t any rules anymore when it comes to how far they can drop and how

quickly … you think you know, but you don’t, and as these last weeks have

shown by brutally separating the “men from the wannabes” when it comes to

trading and limiting risk as much as possible, it can frickin’ go anywhere … “it

simply can’t do that” should not be in your vocabulary.

Nowhere is this more striking than the U.S. Stock Indices, which have

completely gone full retard basket of kittens on meth, where VIX is in the upper

30’s - low 40’s, and what you think it can’t or won’t do, happens in less than 2

minutes via panic mode by somebody with more money than brains … but

anybody hanging around gold the last week has seen it as well, cuz the “red”

down M1’s at times have been brutal, and I’m being kind … you can be up on a

trade, and on the uptick go and click the liquidate the long position, and be in

utter shock to see your fill $2 - $5 lower, and this is what has kept me out of gold

on the runup this week … this isn’t the fault of the brokerage house, this is

what’s called by professional traders as “painting the tape” by the scumbag

bullion banks … its purpose is to scare the shit out of you and make you think

twice about getting long … back in the day when pits ruled the world, you could

see who was doing this kind of shit and evaluate the situation … today, we don’t

have that, cuz only the scumbag banks have that ability … and in today’s manic

depressive, roller coaster up/down bullshit, I want no part in helping donate for

the bank’s Christmas party fund.

Anddddddddddddd it’s gone! … “if only somebody could have warned us about

gold they said” … well, that escalated quickly to the downside, didn’t it?

… nothing like a $10 “red” M1 in 1 second, and if you had that “protective” sell

stop in, guess where you got filled? … I’m sure it’s nothing more than “honest”

profit taking from folks who don’t give a shit about price, right? … and, here we

go again as I write, down another $10+ in 2 M1’s … “if I didn’t know better, I’d say

somebody at the “Rally Protection Team” [RPT] has had enough, or maybe it’s

“Peter Pan Kuroda” at it again … no matter, the powers that be are sending a

message to gold bulls … and the New York day is only starting! … what’s going

on, isn’t government’s hubris at work, but intervention to allow the banks to buy

retail spec sell stops on the “blitz” lower, thus bailing them out of short positions

they sold on the way up … just the normal “they win, you lose” if you play at

levels the manipulators find “unhealthy” … cuz what’s at the heart  of this is

losing control of the gold market if one of these outfits gets into serious financial

trouble, and then the whole fucking manipulation gig is up, and who knows

where price lands then?

Yesterday I wrote about the FTSE100 … today, some thoughts on the DAX30

… we haven’t seen daily ranges & IVIX [intraday volatility] like this since the

“Greek debt crisis” [Grexit], back in 2014 & 2015, and it’s certainly made the

DAX30 wake the hell up … yesterday I said the DAX30 was rather “chaotic”

… certainly not as bad as the DOW30, which is untradeable at the moment, but

the important question isn’t if this market is “chaotic”, the question should be,

“when I get an algorithm buy signal, what happens now? … is the “hotter” buy

fuel worth the risk if the signal is wrong? … meaning, yes it moves faster than

the FTSE100 by an approximate 2X - 2 ½ X factor, but do I take on substantially

more risk to get that hotter buy fuel? … and the answer is “yes”, but not nearly

as much as the potential buy fuel can carry the market upward”! … bottom line,

it’s a very good tradeable market for algorithm signals, and starting Monday it’s

gonna be “in the mix” with gold & FTSE100 of the markets I’ll be trading, “IF”

they can keep a decent spread without blowing the shit out of it, and doing

wacky swings in the the spread, otherwise you just have to leave it the hell

alone. 

And oh yes, there was an NFP number today … does anybody care with the virus

on the loose? … No, they don’t … least important NFP number in recent memory.

And after all that in gold from above, then we get the other “shoe to drop”, as

gold goes down $40+ in 8 minutes … apparently, Mnuchin made the call?

… another Friday “whack job” from the friendly folks at Manipulator HQ … in

case you haven’t gotten the message, they’re sending one again this morning,

and the easy money you think is there by being long gold, they aren’t exactly

going along with that theory … and another Friday sees more people wiped out

of gold forever. And now you know why I have avoided gold these last days, cuz

although I don’t know “when”, I do know it’s coming, and am not presumptuous

to think I can sidestep the RPT when they strike, cuz they take no prisoners

… and if by chance you’re new to trading, learn from shit like this and remember

it the next time gold gets “heated” and becomes a “sure thing one-way” trade

… cuz it never ever is. “Now, who wants to play some more today with the RPT”?

I will note that in the DAX30, trading is 6 hours behind New York in the German

cash market, so your best bid/offer spreads are going to be around 2 AM EST - to

about 11 AM EST … any other time, and the spread can get wide or it can stay the

same. And as a side note, if the DAX30 is “your market” for trading, and it’s

something you trade all the time, conditions at CRYPTO ROCKET are more stable

than Turnkey throughout the day … during Germany trading hours, Turnkey is

going to give you your best overall trading conditions and lowest RT commission

… CRYPTO ROCKET keeps the spread at 1.4 index points, a “1 lot” = 100 * the

index, margin is 0.5% [200X], and RT commission for a “1 lot” = $6.00 … so,

you’re looking at a total cost of 1.46 index points on a trade where it’s ± 1 €

[EURUSD] per index point; meanwhile at Turnkey, during German trading hours

the total cost is usually around 1.2 index points … on the other hand, CRYPTO

ROCKET’S  FTSE100 is too pricey, and conditions at Turnkey are much better.

As we move into the New York afternoon, it feels to me like “exhaustion panic”

has taken its toll, and players are heading for the exits … last guy out, turn the

lights off kind of thing … since that last round of sell side gold manipulation,

interest in everything has evaporated quickly … most notably, the European

Indices are closing weak, with lower lows in the DAX30 from Monday … almost

in the FTSE100, while so far at least, the “Plunge Protection Team” [PPT] has

kept U.S. Indices well off Monday’s lows … into the close not knowing what the

hell the weekend is gonna bring via news flow, you better really want to own

those derivatives if you take them home long … not that the sell side is any

bargain, cuz it ain’t, as shorts have found out the hard way what “bear market”

rallies are all about and what they do … and what they do is kill shorts faster

than any virus.

One good algorithm trade today in the FTSE100 … TURNKEY PAMM / MAM UP A

LITTLE MORE THAN 0.1%

This week has really put the “Trade For A Living!” algorithm to the proverbial

stress test … 2 market melt ups, and 3 market melt downs … some “bigly & yuge”

ranges & swings, and through it all the algo had the right calls, with very few

“false positives” that I saw … I was watching the indices & gold for the entire

week, with some “peeks” at USDJPY and some of the “risk on / risk off” crosses,

like AUDJPY, which had some very good buy signals today after the NYSE open.

More than anything, it greatly reduces risk, and then spots the long trade

BEFORE the market recognizes what has a very high probability of success

… cuz by the time the shorts recognize they’re getting squeezed, you don’t want

to be “paying up” to get in … when they “pay up”, you can almost see in your

head about half a million traders who are short saying, “oh shit, gotta get out

NOW”!, and their fuel is what we use to get great liquidation fills on the way out,

cuz if you use & follow my recommendations, you’ll be liquidating longs on

spikes higher … if you wait for the turn, you’re not gonna like what you see on

your screen next, when the M1 goes “red”, and no matter what market you trade

the scumbag LP banks aren’t gonna be your friend, and start handing out

wonderful fills cuz you waited 2 seconds too long to get out … everybody is here

to make money, and so are they!

Now, what makes stock indices & gold such great markets from the long side, is

that there is a never ending supply of buyers in both … it’s strictly a function of

price, and no matter how rotten price is, 2 things are always GUARANTEED TO

HAPPEN: 1) shorts get trapped and scramble to buy collectively “en masse”, and

2) shorts ALWAYS panic first, thus insuring “buy fuel” at the turn … the hard part,

if there is one, is training yourself to separate your brain from your guts, and

whatever thinking you do, it revolves around the algorithm and what it’s saying,

not some fucking hunch you picked up walking past the hog pit … and by doing

that, along with FOLLOWING ALGORITHM DIRECTIONS ALMOST AS A

RELIGIOUS FERVOR, 2 things will always happen; 1) any losing trades will be

small, and 2) you can never get into any trouble … do that, and when money

presents itself, bend down and pick it up … what’s not to like here?

Fact is, doing this NOW is plenty easier than in floor trading days … granted,

nobody can see order flow anymore like we could back then, but the advantages

now outweigh that … for one thing, you have the ability to demo things, and

secondly the ability to enter the business has NEVER BEEN EASIER, or takes

less capital to get started … and it has NEVER been as private, secure,

anonymous, and outside the control of government as it is today, and although

Turnkey has minimal KYC, both CRYPTO ROCKET & PRIMEXBT HAVE NO KYC

… use a private, fully encrypted, secure, FREE email account and sign up,

deposit some BTC, and you’re trading!

Looks like the PPT & RPT manipulators haven’t had much success today in

keeping gold down or stocks up … that’s only a secondary focus … their

primary focus is killing your account, and I can assure you today, they found

plenty of victims … it doesn’t matter that they lose money, that only matters to

you & me … they got the CNTRL-P machine, we don’t! … oh won’t next week be

interesting, and that which awaits on Sunday night.

Blog update on Sunday … until then mi amigos … Onward & Upward!!

Have a great weekend everybody!

-vegas