Merry Christmas Traders...

To all traders: losers; winners; beginners; old timers...
May you have a very Merry Christmas this two thousand twelve...
If you are a winning trader, good for you and keep what you are doing...
And if you are a losing trader, stop, look and listen...
Consult your inner mind if trading is the right vocation...

Merry Christmas too for the newer traders...
For they make the seasoned traders happy as ever...
For they don't know what they are doing...
They trade based from their own liking...
Thought that trading is the quickest way in money making...

Merry Christmas too for the traders educators (sic)...
For they don't make money in trading...
They turn to educating to make money as racketing...
Signing up to their alerts or recommending...
Keeps your mind boggling...

Merry Christmas too to the traders who are struggling...
For they chased their trades to keep up with pricing...
It turns out that the other side is already profiting...
Then they change their technique from day trading to milliseconds trading...
Until they found out they have no more trading (runs out of capital)...

Merry Christmas too for all seasoned traders...
May you have more "seasoned" years in market making...
For without your wits and exploiting...
The market will be dying...
And there will be no more trading...

Finally, Merry Christmas to all market participants...
Traders, investors, schemers, policymakers, ponziers, retirees, whatevers...
Your presence is highly appreciating...
For without your presence, the market is boring as ever...
A very Merry Christmas to all...

May you continue patronizing the greatest money game of all time...

Cash Is King: Printing of $100 Bills Soars

A good detective always looks for a motive when beginning an investigation. And so, when Nick Colas discovered that the number of $100 bills printed last year suddenly spiked, the chief market strategist at ConvergEx Group decided to figure out what was going on.

The first thing he discovered, as we discuss in the attached video, is that "$100 bills are still wildly popular and growing in popularity." On the other hand, the use of smaller denomination bills ($1, $5, $10 and $20) has been declining for over a decade, as the number of cashless transactions has steadily gone up. In fact, in the fiscal year that just ended in October, Colas writes in a recent note to clients, the U.S. Bureau of Engraving and Printing cranked out 3 billion, $100 notes.

"That's substantially higher than the run-rate of the past couple of years," Colas points out, and 50% more than the 2 billion $1 bills that were inked up. "It's actually a record amount of production," he says.

All of which begs the question, why?

Part of this new demand, he says, comes from the classic nefarious sources: drug dealers, arms smugglers, tax cheats and bribes. But some of it is also due to hoarding or the fact that more people than ever, oddly enough, are losing faith in government and/or the economy and are shunning the surety of traditional investments. It's a phenomenon that's led to a huge increase in demand for gold and other precious metals, but also for — you guessed it — $100 bills.

And it's not just here at home. While it's hard to quantify the exact amount, it is believed that the majority of $100 bills are probably being held overseas, since they are globally recognized, widely accepted and the easiest way to store wealth.

"Cash really is king if you want to preserve wealth in an increasing tax environment," Colas says, noting that while gold is a viable strategy for saving some money, "nothing beats a $100 bill if you have to buy some food."

What's interesting, or inexplicable, to many money watchers is that this huge increase in the printing of old-style $100 bills happened right before the expected launch of the new and improved $100 bills that will include a 3-D blue stripe and bell-in-an-inkwell security features. According to the Federal Reserve and its NewMoney.gov website, production problems have delayed the launch of the newest $100 notes for over a year now, though an announcement is expected soon.

In the meantime, with bank deposit rates and yields on U.S. Treasury bills at record lows and paying next to nothing, savers miss out on very little interest if they choose to hold cash rather than invest it.

But alas, there is a silver lining to be found within all of this dollar debasement that at least one Wall Street veteran points to. "It proves beyond a doubt that the dollar is still the reserve currency of choice around the world," Colas concludes. "It may not [always] be from the most savory part of the economy, but it does signal that there's still a lot of faith in the dollar."

Market Rally

The market did rally today not only due to fiscal cliff seemingly positive resolution but also from the participants bullish conviction.

The Santa rally is still in effect despite some economic/market hurdles.

Let's see with the remaining trading days if it will continue.

Market Rally Is Now For Real?

I guess that's what these chart sentiments is showing.

It's only natural for the market to stall it's traction, but the conviction for Santa rally is still there.

 

 

Trading Come 2013

Two weeks left trading the market this year of 2012 and we have to start planning come 2013.

If we did not do pretty well this year, we have to regroup and learn from it.

Let's move ahead and forget the mistakes.

The important thing is we have to learn from them and not (try) to repeat them again.

We need to be more passionate with our trading endeavor - as ever.

We have to look forward since trading (the market) is a forward moving train.

Sometimes we have to stop and examine what's ahead so that we can plan our moves.

This coming 2013 it seems more hurdles in the market.

Let's just explore whatever opportunities the market offers.

Let's stay cool, calm, balance, and not be driven by the impulsive euphoria.

In that way we can trade better with concrete evidence and not succumb to temptation.

I learned that trading is not to trade often, be selective with the trade locations, and need not listen to anyone except to our own self.

Looking forward for a better trading come 2013.

A Derailed Santa Rally

The rally that i had been watching in the market the past week is having a hard time getting its traction.

I guess the Santa rally everybody is expecting has been derailed due to the fiscal cliff problem.

Only two weeks left trading the market before 2013, and it seems the market will just consolidate.

Though there might be some spike(s), but profiteers will just annihilate whatever market spikes will erupt before the year ends.

It is still a traders market, better for the investors to take the holiday break now.

Market Will Santa Rally?

The way it looks with this daily chart from the Nasdaq futures, there is a 'spring coil' the market rally.

It is forming an inverted head and shoulder pattern, or a cup with a handle.

A pattern that a bullish scenario is unfolding the last few weeks of market trading this year of 2012.

The way i look at it, the target till the year ends is at around 2800.00 plus.

A buy signal is now appropriate with stop at 2600.00.

Let see come the days ahead if it will sustain.