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Tuesday, January 12, 2016

outlook

Hi readers

For those who want to know I have closed out my shorts on stocks and indexes carried from last year, yesterday.

Let's look at the year ahead, as we are going to go through a turbulent year.
2016 is going to be a very profitable year for many earth and fire signs , while air and water signs will struggle if not humble.
The key word here is humble!
The stubbornness of earth and fire signs will be there down fall if not humble.
A 9 year is very profitable with good volitility in markets. People born in odd years you will find it very easy to make decisions this year.

If you go back and read past posts you will see that the Chinese have still a long way to go before they get out of there mess there in so this will drag on this whole year.
The quicker they come to terms with letting the market go to its true value the quicker they will get over the mess there in.
Propping up the market with state funds and retail investors is borrowing time.

Oil.
Yes there is a glut of oil at the present time but not at levels the media is stating.
This is all about Saudi Arabia protecting its future and future earnings.
If oil has to drop to $15 a barrel it will as long as shale oil goes bankrupt.
This is at any cost game so don't think oil will bounce back to $50.
Talks of cuts are nothing more than media hype. Just feeding the mice what they need to hear.

Iron ore
Same scenario there is a cartel playing around with the market.
Blaming the Chinese slowdown on prices yet selling far more than the market can handle.
Little did I realise until I obtain an email from a friend who has clearly shown the forward sales of production until 2019 at a set price.
Way above the current prices, posting shelf companies as buyers at current prices and selling to contract buyers . Third party
Nothing illegal about it, it's just saves the company billions in potential tax and put the Australian government out of pocket.

No disrespect to the Australian readers but you do have state governments there who paid I believe $1.6 billion in compensation not to build a road, yet you so badly need it.
Government in Australia don't have the smartest tools in the shed so to speak.
As my American reader David said once (DUMB PEOPLE BREED MORE DUMB PEOPLE. PEOPLE WHO VOTE AND LISTEN TO DUMB PEOPLE BECOME DUMB.
That's why the gap between haves and have not is so great.

In regards to grains at the present time they are very cheap.
I'm a big fan of grains because no matter what happens people must eat.
Animals must eat, and with climate change so real supply will always be affected.
Farmers are the most smartest people around they just play dumb to get what they need.
Talk to a farmer about an issue and talk to a metro person about the same issue and you get very different answers, truly fascinating.

Not a metals fan this year again it will be a sluggish year for metals, second half will show some light but not worth investing in them.

In stocks
I found a number of real good potential companies with huge upside in them, some have moved up aggressively with news of development while others are dormant at the present time.
Until the astrology is done on them  I refuse to post out who they are.

With my own play I bought some Stock before the year was out at 1.05-1.10, but still looking to pick up more at the right price.
What tends to happens when markets get jolted around is many small and medium investors sell out of profitable stocks to buy blue chip stocks thinking they are cheap.
Only to realise the can fall just as easy as any other stock.
That's why patients will be hugely rewarded 2016


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