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August 28, 2013

Global Market Comments August 28, 2013 Fiat Lux Featured Trade: (OIL SPIKE SENDS TRADERS SCRAMBLING), (USO), (GLD), (ORDER EXECUTION 101), (THE GREAT COPPER CRASH OF 2013), (CU), (FCX) United States Oil (USO) SPDR Gold Shares (GLD) First Trust ISE Global Copper Index (CU) Freeport-McMoRan Copper & Gold Inc. (FCX)

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Which One Did You Say I Should Buy?

Wow! That was some speech! Secretary of State, John Kerry, was certainly rattling the saber last night when he laid out the irrefutable evidence confirming the use of chemical weapons in Syria. Defense Secretary, Chuck Hagel, then upped the ante by asserting that US military forces are “ready to go.” Oil (USO) hit a two […]

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Order Execution 101

New Global Trading Dispatch subscribers have requested guidelines on how to execute my trade alerts. So I thought I’d take some time today to expound on the basics of order execution 101. There are three basic ways to intelligently get an order into the market: 1) The No Brainer Average In. Buy half at the […]

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The Great Copper Crash of 2013

When Dr. Copper (CU), the only commodity with a PhD in economics, suddenly collapses from a heart attack, risk takers everywhere have to sit up and take notice. Since the 2011 top, the red metal has collapsed a shocking 35%. So called because of its uncanny ability to predict the future of the global economy, […]

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August 27, 2013

Global Market Comments August 27, 2013 Fiat Lux Featured Trade: (THE TECHNICAL/FUNDAMENTAL TUG OF WAR), (SPY), (INDU), (IWM), (AND MY PREDICTION IS….), (TESTIMONIAL), (THERE ARE NO GURUS) SPDR S&P 500 (SPY) Dow Jones Industrial Average (INDU) iShares Russell 2000 Index (IWM)

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The Technical/Fundamental Tug of War: Who Will Win?

For the last few weeks, I have had two groups of analysts screaming in my ears. Fundamental researchers are asserting that at $105 per share in earnings, generating a price earnings multiple of 15, stocks are at the historic middle of a 10-22 range. Q2 earnings are over, and modestly outperformed on the upside, although […]

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And My Prediction Is….

Take those predictions, forecasts, and prognostications with so many grains of salt. They have a notorious track record for being completely wrong, even when made by the leading experts in their fields. In preparing for my autumn lecture series, I came across the following nuggets and thought I’d share them with you. There are some […]

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There Are No Gurus

If there was ever an argument that you should rely on independent newsletters for guidance about financial markets, such as The Diary of a Mad Hedge Fund Trader, and not traditional brokerage houses, take a look at the chart below from JP Morgan. It shows that despite all of the reforms passed after the dotcom […]

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August 26, 2013

Global Market Comments August 26, 2013 Fiat Lux Featured Trade: (RIDING WITH TREASURY SECRETARY JACK LEW)

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Riding With Treasury Secretary Jack Lew

I was perusing my morning email in Zermatt a few weeks ago, and spotted the familiar White House address with the .gov ending. Would I be interested in meeting with the new Treasury Secretary, Jack Lew? It was just what I needed to lure me out of my Alpine lair back to the USA. I […]

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August 23, 2013

Global Market Comments August 23, 2013 Fiat Lux Featured Trade: (HOW US JOB LOSSES WILL END),  (FXI), (PIN), (EWY), (VNM), (OPTIONS FOR THE BEGINNER) (BRING BACK THE UPTICK RULE!) iShares China Large-Cap (FXI) PowerShares India (PIN) iShares MSCI South Korea Capped (EWY) Market Vectors Vietnam ETF (VNM)

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How US Job Losses Will End

I was researching comparative Asian wage data the other day and was astounded with what I found. Textile workers earn $2.99 an hour in India (PIN), $1.84 in China (FXI), and $0.49 in Vietnam (VNM). This is an 18 fold increase in labor costs from ten cents an hour since Chinese industrialization launched in 1978. […]

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Options for the Beginner

I strongly urge readers of this letter to log on to Amazon and by a copy of Options for the Beginner and Beyond by W. Edward Olmstead. Options contracts offer investors a wonderful instrument for minimizing risk, while maximizing the upside, and I am going to recommend many more such strategies in the future. So, […]

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Bring Back the Uptick Rule!

When the Dow crashed 514 points in a single day a few years ago, the market lost a staggering $850 billion in market capitalization. High frequency traders were possibly responsible for half of this move, but generated a mere $65 million in profits, some 7/1,000’s of a percent of the total loss. Are market authorities […]

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August 22, 2013

Global Market Comments August 22, 2013 Fiat Lux Featured Trade: (WHY I SOLD OIL),  (USO), (UNG), (UUP) (SALUTING THE “OLD BREED”) United States Oil (USO) United States Natural Gas (UNG) PowerShares DB US Dollar Index Bullish (UUP)

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