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Monday, December 14, 2015

Almost every business is a cartel, people just don't know it, and pay up.

Hi readers

Many have asked questions after doing the own research on our astrological stock.
One in particular question has been raised over 38 times.
Does FRM run a somewhat cartel with other producers to fix prices?
Your answers is in the question you ask!

Anytime companies produce a product that is a form of it.
Look at petrol companies?
Right now the oil industry. OPEC
Out to bankrupt shale research and international producers in Canada and America.
Yes while many can't work it out why would you sell below cost?
 You can only corner a market once you have eliminated the threat.
Right now this is going on and will continue, with iron ore, oil, coffee, cotton and many more.
Make in an unviable business once thats happened then your able to make those losses back in a very short space of time.
In Australia now we are seeing small vegetable growers leaving the industry.
Selling up and moving on because large producers are making it an unviable business by selling cheap there produce.(24% closed up in the last quarter)
Clean out all threats to then run prices on the public.
This occurred in the US back in the 1990 and we then saw prices run up and consumers paid up.
Yes Mother Nature can dictate how much produce can be produced but farms now are so advanced that once every 4-5 years weather will affect a yield.

We hear bullshit coming out Australia that this years wheat crop on the eastern boarder will be low due to weather drought , yet I know readers ( farmers)who have clearly said to me they will have record crops, yet will release only 30% of it .
That's call smart thinking farmers who have learnt the hard way about controlling prices.
That's why wheat is still holding good prices while soybeans have dropped in price with South American producers selling into the market at any price.

Same is happening with iron ore, that's why BHP will continue its fall, coffee with Vietnam selling at any price, and the Chinese with cotton.

Hope this Answers your questions.

To all farmers producers, mining firms, CEO's and traders who understands smart economics!
Supply demand is the name if the game, and will continue to be.
You always sell when everyone is buying and always buy when everyone is selling.
Contrarian may be but you will always make money doing it.
Timing is everything that's why you need a good astrologer to help you with timing.
That was my biggest lesson I learnt from a Japanese trader in 1991.






Wednesday, December 9, 2015

what is a fair price for BHP

Hi readers

A number of questions and so many concerns...
Welcome to a Scorpio moon..

Regarding BHP, is it time to buy yet ?
That is a question for you to answer on your own.
Reason I say that is time frame, and patience.
How long do you want to hold it and what are your expectations.
At the present time it looks to as tho there is a serious carry trade/hedge playing out in the market regardless of price.
Selling the miners, buying the banks.
Yes overseas has finally caught on that the Australian public are slaves to the banks now.
I say that because the attitude is let's live the life in style and showboat while only pay the interest on loans. The piper isn't getting his money back, which is a massive danger.
Now we hear that the government want to change bankruptcy and insolvency legislation, to make it easier to try again.
While that is a good thing it's a double edged knife also.
Those old enough to remember this is 1990-1993 all over again.
Banks will be left holding the debt, in return shareholders will wear it .

My astrology is say around March we should get a better idea of what is a good price or BHP.
We there that is $15, $12 or even $8.80 I don't know.
Market is now just starting to understand the mine damage done, so 40 billion is 12-15 I think.
If 80 billion then $8.50 very strong possibility ... But until we see a cost of damage claim we really can't put a proper price.
So is BHP cheap at the moment? No.

Another full of crap stock is Macquarie bank, will never understand why they call themselves a bank, except for government protection.
Any private trader who trades seriously can't stand 2 companies in the world as they are what we call the blood suckers of the world...
Goldman Sachs , and in Asia Macquarie.
Flip traders like toys if they loose money which I guess is business, but it's the way it's done.
So every time they get caught out in trades by market volitility, I with my friends and HSBC enjoy drinking on there graves.
These firms have the most advanced algorithm software which is years ahead of the regulators.
Able to manipulate market to suite there traders.
In particular small cap stocks.
Regardless of what the SEC or the ASX make out in the public arena these companies basically have there own rule which isn't right.
Yes I did recieve an email weeks ago about pushing FRM down to 20 cents from 60. When we emailed out.
While there code was showing up as a seller at the start,whether that was for clients or not I do not know.
But then when the stock close at 84cents the first time word went around for 300k.
While I wanted to post it I wasn't able to for insider trading rules.
Unfortunately they managed to close shorts by covering.
Waiting for another assault for which this time I am able to act and will .
Yes I'm sure the emails will come from my so called friends so let's see how good they really are.
By the way just so you all know the company has NO intentions to sell shares over the next 2 years to raise capital...

Use caution in your trading for the rest of the month..
I'll post more information on FRM later.


Tuesday, December 8, 2015

Financial astrology

Hi readers

When I look at stock to invest in not trade I look at 3 things which are pivotal
First... is the astrology, where is the stock at and where it's heading.
Second ...I look at what its product or service to use.
Third...what the financials of the business and how can or will it improve.

The stock in which we have powerful positive astrology is Farm Pride Foods.
First the financial astrology.
For the amature astrologers
From May 2013-May 2015 it when through its Saturn station.( it's restructure so to speak)
As of July 13th 2015 -Sep 23rd it pushed through a Venus trine Pluto at 11 degrees.
This is seeds of the restructure starting to pop up.
As of 9th Dec2015-9th Dec 2017 the company will have jupiter trine Venus in the 2nd house.
This is the most powerful of astrological aspects you can get which affects companies going forward.
Many amature astrologers will question this but when we also put the 6 degrees of the affect is hard to dispute if you know financial astrology.

So what does the company do?

There in the eggs business.
Yep eggs, everyone eats eggs.
They are the largest egg producers on the eastern board of Australia.
They supply eggs to the large chain stores that being (Coles and Safeway).
While there a number of small and medium producers as competitors, to supply the major chains they have that business covered.
The food service industry is growing also and with health regulations around the country forcing many small producers to modernise Farm Pride is sitting in the box seat to pick up future market share.
The health crap which we all got told about eggs increases cholesterol was the biggest fraud in food.
More people are eating eggs and are healthy for it as its proven in the July MD health magazine.

It's competitors being Pace farms and Meggles are very unreliable in the supply for product to the chain stores on the eastern boarder.
So the chain store have no choice but to deal with Farm Pride and accept any pricing structure.
If they had to deal with small producers with the central invoicing systems they have it would be a nightmare.
Sure Farm Pride wouldn't have the quality as some smaller producers but there the only ones with the volume, which leaves the chain stores paralysed.
Bottom line without Farm Pride Australia doesn't eat eggs and that's why in the event of any issues the government will support.

We then look at the value added products that being eggs pulp, scrabbled egg mix, and the aggressively growing market of egg whites to the weight loss and body building industry.
The equipment to make these product,FRM has he capacity to supply, and have the quality to keep growing there market.

Financials
It's looks as tho the company went into building new farms and hiring farms to secure its supply.
Obviously when this occurred it's looks as tho the GFC hit and they couldn't sell stock to raise money.
So it looks as they the company when into serious debt to secure its supply.
As those farms are now coming online Farm Pride has halved it's debt and is making a healthy profit.
I like the fact there is a tight management structure, as I don't see why you need fat cats being paid at the top.
they have been exporting products overseas and I see this continuing in the future with Australia's clean green promotion.

Who are the stake holders in the company?

It appears that the WA co, ( Westcoast eggs)have a massive invested interest in Farm Pride.
Why is that ?
To secure supply to Farm Pride.
As Farm Pride become more self sufficent supply of product will decrease.
It's my understanding reading from the Australian Egg Councils paperwork that WA producers over supply the state by 15%.
Simply there a lot bigger farms with the security of 3 day truck drive which protects them from competition from other producers around the country.

So let's look at valuation
The company has 55 million share.
At $1.80-$2 the company is worth $100 million
If it continue as is without growth and erases it's debt and culls the supply from WA company will earn $19million
If the growth continues and I can see why it won't with the increasing population in Australia, at current levels which we have been told will, in a statement to the market.
Company value then pushes to the $175-200 million.

Now this is the curve ball.
WA own 49% of the company.
WA needs Farm Pride more than the latter.
They even have to members on the board overseeing.
In the event that the culls begins, and Farm Pride no longer need WA.
What do they do?
There not selling out that's for sure , there takeover bid is in play.
For which then what is a reasonable prices knowing that WA need Farm Pride.
It's my view that $7.40 a share is a fair price.
That's equates to around $400 million.





Monday, December 7, 2015

might be time to examine yourself.

Hi readers

If you ever want to see how the establishment screws up traders Friday's action was the perfect example of it.
Burning all traders by pushing the market after news only to drop it back the next day.
Rates going up isn't good for discretionary spending.
Similar situation you have with the A$, everyone knows that it's going down yet it's still trading higher squeezing out short.
This is what the industry calls the establishments control.
Yet when it goes against them they run to the government for support and help.
Whether it's JPM or Maquarie they are all the same.
Investment banks can't make money in an open market as they portray.
Information is key and that's why small traders are always in debt.
It's also small funds who they support also and then call,up IOUs...
Yes regulators know it goes on yet turn a blind eye to it.
Perfect example I got told of a play on a stock in Australia regarding capping compensation claim in the UK.
This at the time was trading around the $3.10-3.20 area.
Word got out and some took the play yet after the announcement the amount of selling which hit the stock was incredible, open shorts, yet under rules these plays aren't allowed to occur.
No I didn't take the trade as I don't trade that way.
The SEC or any other policing agency has no chance of ever catching this type of trading as computer algorithms are that advanced that the authorities surveillance  is some 6 years behind.
That's why no one can or will be caught.

Example... Is it possible for a computer programmer on $120k be smarter than a programmer on $2 million.
That's what the game is and that's why this will never stop.
That's the truth regardless of what you think or believe.
That's why at times you will have a parcel of shares on the bid, yet when you try to sell into them they immediately disappear with a small amount only executed.
What's the excuse from the authorities, the order on the bid was revised.
Yet on the screen it's was clearly showing the bid size.

This is the main reason buy beware on spec stocks.
When rates move and money becomes tight, small spec stocks will sell there own shares to raise capital.... SUPPLY DEMAND  people.

Another great play is when sellers want to liquidate a stock they hold.
Calls are made around to limit the selling so the stock can be cooked up.
It's run to a certain point and then the word goes out to sell it.
Once again leaving the small traders holding the bottle,after the smart money has got drunk on there success.

While many of you are Technical traders and I do respect that you need to know what your investing in.
Have rules to only trade a certain amount of shares in it so you can liquidate at will without getting stuck in a stock because of its potential.
CHANCE COMES TO THE PREPARED MIND.
Without money you have to chance of playing so be smart with it.

Tuesday, December 1, 2015

Planning dates for December and January

Hi readers

Let's get straight to it.

December dates

1st Positive
2nd Negative
4th Negative
10th Negative ( caution on technology)
11th Positive ( New Moon)
14th Negative
17th Positive
18th Negative
If the market was open on XMAS day it would be a massive day.
29th Negative
30th Negative

January dates
5th Negative and also it's the start of a Mercury retrograde period.
7th Negative.
11th Positive
13th Positive
14th Positive
18th Positive
20th Negative
22nd Negative big day
25th Mercury goes direct
27th Positive
29th Negative.

Positive:::means positive astrological aspects for the market.

Negative::means negative astrological aspects for the market.

Please use caution when trading during this time period as markets are very thin and can distort what's really going on.

2016 readers is going to be a big year in madcap stocks.
While blue chip stocks will struggle to keep up.
Spec stock will be just that bingo plays.

Next Tuesday I am allowed to release all my research on my stock trade.
Financial regulation in Singapore isn't like Australia.
If you don't toe the line they will come down very hard, regardless of who.
So apologies for the delay.




Thanks to the Wall Street journal ...

Australia ranks fifth in the world for the amount raised via new technology IPOs this year, according to deal tracker Dealogic, at a time when technology companies’ share of US listings has fallen to a seven-year low.
The US is still the biggest market by deal value, followed by the UK.
But Australia has been moving up the ranks from eighth place last year and 13th in 2013. The only other Asian country in the top five is China, at No. 3.
Those figures don’t include a recent wave of backdoor listings. In a backdoor listing, or reverse takeover, a company is able to go public by being acquired by an already publicly traded company — usually referred to as a shell company. The end of a long mining boom in Australia has created a pit of shell companies with few assets left. Many small miners have become the target of reverse takeovers by technology start-ups.
Some US firms have already struck pay dirt in Australia.
Silicon Valley-based online recruitment start-up 1-Page, which under CEO Joanna Weidenmiller listed in October last year via a reverse takeover of former nickel and gold explorer InterMet Resources, reached a high of $5.69 in September after listing at 20 Australian cents a share. It closed at $4.33 yesterday.
Australia’s deep mining history is a big part of the attraction: Investors who have survived numerous boom-and-bust commodities cycles tolerate a level of risk typically found only in venture-capital markets elsewhere.
“There’s a little bit of the gold miner in each of us,” said Stuart Foster, chief executive of Sydney-based Foster Stockbroking.
When the mining boom was in full swing, few people gave any thought to Australia as a possible hub for early-stage tech listings.
Now, young companies are coming here in a steady stream.
Some are seeking to avoid raising venture capital — where founders can lose control of their business or be forced to accept unfavourable terms. Others are attracted by low listing fees and other rules designed to make it easy for young resources companies to access capital while they are still exploring.
“We’re doing the same thing that we’ve been doing for mining start-ups for the last 100 years,” said Max Cunningham, general manager for listings at the Australian Securities Exchange, or ASX. “The resources sector is in a deep recession, so the market is increasingly looking for alternatives.”
In the year through June, 30 tech companies listed here, up from 12 in the previous financial year. In contrast, this year could witness the fewest tech public offerings in the US since 2009, with 15 new listings through August.
Not everyone is convinced Australia has struck gold, however.
“Australians understand that if you dig a hole in the ground and you find gold or iron ore and you sell it to China, you’re going to make a lot of money. They know nothing about US tech,” said Philip Alexander, an executive director at corporate advisory firm Jacanda Capital. “It seems a tad artificial that brokers from Perth are suddenly tech experts on a global scale. You wouldn’t go to a dentist to have a knee reconstruction, so why are we going into mining shells with tech stocks?”
Unlike many overseas exchanges, which require companies to meet certain profit milestones, companies can list on the ASX by meeting either a profit or an asset test. That suits tech companies that aren’t making a profit because they are spending money developing new technologies. Companies must have a minimum market capitalisation of $10 million ($US7.1 million) after a capital raising.
“To fundraise in Silicon Valley, if you go to the venture-capital market you have to raise (capital) and then raise again,” said Noah Abelson, the 29-year-old co-founder of Silicon Valley-based ShareRoot, a social-media-focused marketing company that will list on the ASX in mid-December via a reverse takeover of Monto Minerals Ltd. “They’re doing the whole unicorn thing: They’re going after billion-dollar companies.”
One recent lunchtime more than a dozen fund managers gathered in the cowhide-clad private dining room of a central Sydney steakhouse to hear Mr Abelson pitch his software platform, which helps companies, including McDonald’s and Costco Wholesale source user-generated content from social media sites such as Instagram and Facebook for use in marketing campaigns. Over lamb chops, silver-haired investors made the leap between appraising mining tenements and seeing dollar signs in “selfies.”
In many reverse takeovers, existing investors are switching hard hats for smartphones and staying on for the ride. Former Monto Minerals executive director James Allchurch, a geologist, will be a ShareRoot director.
Other US companies listing here recently include AHAlife Holdings, a New York-based online retailer, and the US-based online recruitment start-up 1-Page Ltd. Several more plan to do so, including Updater — an online platform that helps people with home moves. It hopes the ASX will lead to a future listing in the US.
Most Australian tech deals are small. Few IPOs raised more than $20 million. And though the number of overseas listings is rising, the ASX has struggled to land big local deals. Sydney-based software tools maker Atlassian, which has been valued privately at more than $3.3 billion, made a US IPO filing public on November 9.

BHP has more to move .

Hi readers

So November is finished and we are at the home straight and should trade up ? Really !!!!!
While that has tended to be the norm I'm not so sure that this will be the case.
For some sectors,  surprise and disappointment is expected, which will then equate to disappointing half yearly results in the months ahead.
So just don't expect the XMAS run to just happen it won't.

For those who have held off on BHP, you can now see why we said back when it was at $23 and 20 that there is more to come.
There is still more ahead for the troubled company.
I'm starting to look at the companies astrology going forward as its beginning to interest me at these prices.
Before looking at the stock I think a $12 level would be something I would take a longer term view but first let me do the astrology and I will post out .
For the time being not keen at $18 .

Stocks

A number of you have sent me stock to look at and get an opinion.
While the Stockmarket will always gift the prepared mind some of these stocks are crap.
I say this because you need to understand what your buying , why your buying and what's the plan going forward.
Some of the companies which have shown great moves up are pump and dumps.
This crap was happening in the U.S. some 5-6 years ago and have disappeared.
Some of the small media firms who have turned up in Australia are looking to exploit Australian investors.
Sure some might have merit in the long term but this type of pie in the sky investing isn't for me.
I like to see companies making products, selling products or services.

Hope and one day dreams are church songs in my language.
It's harsh because it's the truth.

On Capilano Honey, there was a reason why we closed our positions when we did.
Yesterday's move was an eye opener for many who don't really understand how to trade small cap stocks.
Yes the company is being held in good hand and it can trade higher but once the liquidity starts to dry up you will get these violotile moves which will put the fear of God in small traders.
So you need to plan trades when your take a view, whether it's short term or long term .
If your trading charts like so many do then your just trading momentum which can change very quickly with a market order attack.
As was the case yesterday in the stock.

For those wanting the financial astrology for the Dec month will post them out in next post and I will also put the Jan as I will  be looking to take a break.

To the Australian readers just let you know that I'm allowed back into the country so will be traveling back to Melbourne to see friends and family.