Confiscation & Inflation

30 years plus have passed, but this film captures the same issues yanking the global fiat lie today. Silver Shield (Chris Duane) posted this on his site a couple of days ago. Just saw it today.

Set your bets and go to sleep? (updated 1010 am HST)

8:16 am (Hawaii) Not so long ago I got a handful of FAZ at 60.53. Not the optimum price like 55 or 53, but it suited me okay. That was at the end of Tuesday. Today, right now, FAZ is at 64.92. Had I done a Rip Van Winkle, slept through all this political economic hoohaa, I'd wake up and be pleasantly surprised with a gain of more than 4 bucks a share. Instead, I sawed away and gave away what would've been a profit yesterday. Only in the past hour am I back to break-even on the latest position.

For now, predators are feasting on imbeciles, and the carnage is just beginning. Nothing's free and if you can't protect it, you get eaten. Can't help that it's just a little funny to watch sometimes.

Update 9:02 am Did anyone see that move in the minutes before the final hour began. That was 8:55 to 9:00 here. Dow rallied as if there was going to be some mad upswing, got up to +13. Yesterday, there was a distinct move at the top of the hour. Today, 9:00 arrived and the Dow started tanking. It's 9:04 am now and the Dow is now -38. I have no idea where it finishes in 56 minutes. But that looked like a trap for the traders who might be playing a move right at that 9:00 tick.

Update 9:12 am FAZ went from 64 to 65 in a hurry, now 65.36. I'm now in the living room, TV is on (mute) and I'm watching the daily chart only. As long as I line it up with my megaphone and pennant patterns, I'm not switching over to the 1-minute. Otherwise I'd have to draw it all over again. That's one odd way of implementing self-discipline.

As I type, a major battle between bulls and bears is in place. Le Fly is right, despite the relatively up or flat numbers today, so many stocks have been forked that it looks very much like an avalanche is not far away. In the past few minutes, the Dow has gone from about -35 to +15 or so, then back to -35. Wild swings and battles in the trenches.

Update 9:37 am How horrendo. I watched as FAZ rallied to 65.41 and I was in the green by 1.30 or so. Then the indices rallied and FAZ went down, down, down. I had to get out or get piled over in an avalanche due to the nature of 3x short ETFs. If the algos go bullish, get out of the way. I exited the position at 62.20 62.26. FAZ is now at 61.86. It went from a winning trade to a loser in what felt like seconds. If this was going on at mid-day, it's a different decision. In this final 30 minutes, I can't take that kind of chance, the odds stacked against me. Should've sold most or all of the position above 65. Absolutely unpredictable.

The only good thing is that FAZ rallied off today's low, saving me $3/share. Scaling out is going to be a necessity from now out. The market may be wrong. Being right doesn't mean making a profit.

Update 9:55 am It's less about the hows and whys. It's about price. The ancient adage, "Buy low, sell high." It made no sense for the market to rally in the last 30 minutes after going back and forth for hours. If anything, the algo machines sensed that peon traders (me) were leaning one way, and the machines went the other way, raking in profits all the way up. I'm not saying the German vote in favor of a Greek bailout wasn't going to boost the market. But for the market to go from indecisive to straight-up-and-away without any catalyst is just the new norm. 

FAZ is at 60.37 in afterhours trading. From here, does the market go blindly into melt-up mode for the near term? I tend to think so. That'll lead to higher gold and silver price, which I like.

FAZ at 65 was a very so-so entry point. FAZ at 60 a little better. At 55, 50, 45, far better. It's probably coming. And as Greece and other Euro party states get closer to default in the coming months, FAZ will return to 65, 73, 81. 100 will come, too. Just not today. 

Tomorrow? Will Sept 30 be a one-day free-for-all window-dressing blastoff? Maybe. 

Monday cinema & library (updated Tue 200 am HST)

Saw Moneyball last night. Great flick. Great minds coming up with a better way to succeed.

11:47 pm (Hawaii) Late start on today's cinema & library. Busy work day, busy other stuff day. Just busy. But I'm nowhere as busy as gold and silver spot prices, which are both ripping higher overseas. If you were brave and/or logical enough to grab a load of physical gold and silver last night when prices were slashed  to remarkable discount levels, a standing ovation to you. If you stepped into AGQ below 100, more power to you. At this rate, with spot silver at 33 now (it was 26 little more than 24 hours ago) and spot gold at 1675 (it was at 1520 or so about 24 hours ago), this is either a sign of the "normal" volatility to come... or the Great Takedown has finally ceased.

Was it enough for the puppeteers to empty out the last of their naked shorts in silver? Probably not, and that's not really a concern in this moment. All I need to know is how to deal with my modest position in DGP once premarket trading opens in about 2 hours. If the market rallies (I have no idea), my eyes will also be peering in on FAZ and FAS. As there were discount prices on gold and silver, there will again be low, low prices on FAZ soon enough. I plan to ride that express from 55 or 50 or 40 to 100, but I won't pretend to know when that particular train is leaving.

Golden pukefest?No anxiety for physical owners

Hi ho Silver! Already 30% above yesterday's low. 

Update 2:02 am AGQ at 130+ (+14.9%) and DGP at 55.84 (+7%) as premarket trading opens. AGQ was available yesterday below 100. In and out is the way for traders. Quick and efficient preserves capital. Or as Robert Nesta Marley once said, "He who fight and run away live to fight another day."

Blogs

Zero Hedge: Key precondition to second Greek bailout has failed (Sept 27)

Michael Snyder: Fed plans to identify 'key bloggers', monitor Facebook, Twitter (Sept 27)

Zero Hedge: Silver soars 26% in 26 hours (Sept 27)

Turd Ferguson: Looking for a bottom (white-out edition) (Sept 26)

> Charts Gold Dec 15-minute | Silver Dec 15-minute

Jeff Berwick: Gold and silver bubbles, panics and stink bids (Sept 26)
SGS: Long GLD calls (Sept 26)
Zero Hedge: Presenting the mother of all European bailout flowcharts (Sept 26)
Zero Hedge: Gold, silver recover as EU doubles down (Sept 26)
Zero Hedge: 'Anonymous' alleges Hong Kong's HK$8.5 billion Chaoda is next Sino Forest (Sept 26)
Peter Tchir: EU goes from monetary union to suicide pact (Sept 26)
Reggie Middleton: I suggest Groupon offer coupons to IPO investors (Sept 26)
Golden Truth: It's getting very ugly out 'there' (Sept 26)
Dan Norcini: Gold charts and some comments (Sept 26)
Realist News: High court in Germany says halt all EU bailouts - Unconstitutional (Sept 26)
Le Fly: Ice cold (remix version) (Sept 26)

Vlogs

BrotherJohnF: Silver Update - Hidden bottoms (Sept 26)
Keiser Report: Pax Americana pyramid nightmare (Sept 26)
MoneyBags73: So many more people would want to have gold if they understood (Sept 26)
MoneyBags73: IMF may need bailout to bail out Euro nations (Sept 26)
drutter: Vancouver physical silver inventory update (Sept 26)
King World News: Why central banks smashed gold, silver (Sept 26)
Four Horsemen Film: Fiat Money (Sept 22)

Mainstream

Reuters: World stocks rebound on Euro bailout hope (Sept 27)

Business Insider: Greek Fin Min: If Europe can't save Greece, it can't save itself (Sept 27)

Business Insider: Geither to ABC: (Europe) foreshadowing escalation (Sept 27)
Reuters: Some sectors of China's economy may crash: Marc Faber (Sept 27)
Jim Comiskey: Daily market insights - Metals futures (Sept 26)

(video) BBC: Alessio Rastani: 'Smart money knows stock market is finished' (Sept 26)