Friday, September 7, 2012

The Politics, Crime, and Obscene Profits in Regulatory CAPTURE

9-6-2012 Image of Corruption

Despite what the headline image states, politicians are very much if not more so complicit in the process of wholesale corruption. Do have fear, because the bull market (bubble) in government-regulated tyranny is drawing closer to bursting with each passing day.


One can observe the unbending will of criminals to hold onto to such sinister monopoly powers by watching the financial markets, a realm from which they have long ago co-opted total capture. Price charts furnish us a theatre in which to observe the ongoing progressions of their criminal successes and wholesale failures.

The inevitable bursting of this final bubble, no matter whom the country elects in November, will not end well. For elite forces, hiding in the dark shadows of an omnipotent government power shall increasingly impose all of their totalitarian will to maintain control, and to avoid criminal prosecutions led by a groundswell of forthcoming civil unrest for which they are wholly responsible for creating.

9-6-2012 State of Corruption

For nearly one hundred years, since congress foolishly granted monopoly charter to the Federal Reserve system, the private cartel of bankers who comprise it have perpetrated the highest crimes against humanity via the full-spectrum regulatory capture of money creation, price fixing of interest rates, money supply, and credit controls.

Seeded in 1913, and since their takeover, they have plundered and pillaged brilliantly for nearly a century, the American Century. Following their clear succession of failures and by default, their guaranteed demise, the shadow powers are now focusing their fiat dictates inward toward nation building in the homeland. Sadly, the majority of sleeping serfs’ resident amid every class and strata believe such dictates will benefit them; such a perverse notion of hope and change could not be further from the truth.

9-6-2012 Regulatory Capture of Interest Rates

Sure, these several generations of thugs have had a good run, but even Teflon John Gotti knows that nothing lasts forever. The above price chart of TLT, which is an ETF derivative product that mirrors the price value of the 10-year Government Treasury Bond, is now showing early but ominous signs of bursting the biggest bubble in the history of humankind.

Despite such signs, do not underestimate the power of totalitarian rule in imposing its will far longer than the governed wish, and for far longer than markets can anticipate, and perhaps more so following the inevitable bust and the unfolding of its catastrophic consequences.

A breach of the two remaining uptrend lines drawn in concert with decisive trade and closes beneath 109 would be a first sign that the big-burst is underway. In contrast, if the recent 120.52 pivot low holds and a retracement rally occurs that is able to sustain a recovery level above 128, will raise the odds for another fresh historic high in price over the near term.

Speaking of capture and profits, for those still manly enough to engage the enemy face-to-face, we provide the following charts and positions recently recommended to members via the Chart Cast Pilot.

9-6-2012 Short-Term Trading Account Balance

Since our last market post at the start of August, the market has done nothing but meander in a narrow range with virtually no discernible bias – until today that is. Though we whipsawed about amid the sideways uncertainty in some of these sideways markets, we ended up getting it right today, and have had it right in other markets well prior to the onset of this sudden burst higher in equity and gold prices.

9-6-2012 S&P Rally Captured

After a string of short-term losses in the sideways S&P, we situated ourselves properly to the long side from 1405 on Wednesday, well in advance of the double-digit rally on Thursday. We also had set a line in the sand citing a trigger of entry seeking 21-pts of upside travel to the 1430 target, which the market handily delivered today as well.

9-6-2012 NDX Rally Captured

In contrast to all of the whipsaw abuse we recently experienced in the S&P contract, our NDX strategy was aligned to the long side of the market from late July, and closed today’s session with $4,645 dollars in profit per single contract traded.

9-6-2012 Gold Rally Captured

We also got a nice jump in positioning ourselves long well ahead of the big rise in the gold price. We had shifted our membership long gold on August 17 at a price of 1615.20. At the close of trade today, each contract held harbors over $8,500 dollars in open profit. As we did in the S&P chart, we also placed a trigger line in the sand for gold, which cited a 15-pt upside move. Shortly after Bernanke’s Jackson Hole circus, gold broke the trigger easily capturing the 15-pts promised at the 1679 handle.9-6-2012Bonds Rally and Decline CapturedIn the Treasury bond futures contract above, after scoring a $3,500 dollar per contract profit on recent longs, we recently reversed our positions to the short side of this mother of all bubbles. We moved short at 149 ‘29/32 on September 5. As of today’s close, we have over $1,300 dollars in open profit on positions taken just yesterday.

So there you have it folks, the latest graphic market snapshots of Politics, Crime, and the Obscene Profits that Regulatory CAPTURE yields for the elites seeking to maintain their controlling grip on totalitarian power. For now, they continue to prevail in selling bold-faced lies of every stripe to their unsuspecting subjects who remain mostly asleep and/or dangerously entertained with a readily available plethora of bread and circus.

We will leave you with a small library of videos on topic, which we recently captured from YouTube. Each in its own way explains the futility and ultimate failures that occur when subversive powers capture and corrupt the regulatory and welcoming arms of a complicit government. Many of the videos provide an alternate view of reality, which in our view, is far more plausible than the status-quo pictures of illusion painted by the recent republican and democratic conventions.

A short summary analogous to Regulatory Capture

 
A lengthy indictment of the Federal Reserve and the government’s role in Regulatory Capture
 
Yeah so, GM is alive, but we are all a lot worse off for it
 
Fast Track to Serfdom: Scare, Threaten, Lock, Load, Plunder and Pillage part-1
 
Fast Track to Serfdom: Scare, Threaten, Lock, Load, Plunder and Pillage part-2
 
Fast Track to Serfdom: Scare, Threaten, Lock, Load, Plunder and Pillage part-3
 
A constitutional conspiracy factualist interviews a left-wing democratic liberal
 
Wake up folks, it’s getting dark out there…