Author Archive for Zero Hedge

China Moves Forward With Its De-Dollarization Strategy

Courtesy of ZeroHedge. View original post here.

Submitted by Stefan Gleason via The Mises Institute,

The world monetary order is changing. Slowly but steadily, global trade and currency markets are becoming less dollar-centric. Formerly marginal currencies such as the Chinese yuan now stand to become serious competitors to U.S. dollar dominance.

Could gold also begin to emerge as a leading currency in world trade? Over time, it certainly could. But the more immediate implications for gold’s monetary role center on its increasing accumulation by central banks such as China’s.

As of October 1st, the Chinese yuan has entered the International Monetary Fund’s Special Drawing Right (SDR) basket of top-tier currencies. It now shares SDR status with the U.S. dollar, euro, British pound, and Japanese yen.

Before the yuan officially becomes an SDR currency, the World Bank intends to sell $2.8 billion in SDR bonds in Chinese markets. The rollout of SDR bonds in China began August 31st. According to Reuters, China’s promotion of SDR bonds “is part of a wider push in China to… boost demand for Chinese yuan and diminish reliance on the U.S. dollar in global reserves.”

King Dollar won’t be dethroned overnight. But the place of prominence the U.S. dollar enjoys as the world’s reserve currency will indeed diminish over time.

Source: The Burning Platform

Yuan’s Inclusion in the SDR Currency Basket: Merely a Part of China’s De-Dollarization Strategy

China and Russia have mutual geostrategic interests in helping to promote de-dollarization. Toward that end, the two powers are engaging in bilateral trade deals that bypass the dollar. Annual bilateral trade between China and Russia has surged from $16 billion in 2003 to nearly $100 billion today. When China hosted the G20 summit in September, it will make Russian President Vladimir Putin its premier guest of honor.

U.S. officials are none too pleased. They fear Putin aims to expand his global reach by forging stronger ties with China.

According to the South China Post, “Some Western analysts have viewed the recent, rapid enhancement of such collaboration as the beginning of a partnership set on destabilizing the U.S.-led world order and diminishing Washington’s capacity to influence strategic outcomes.”

Some in the Hillary Clinton campaign even fear that Russia will interfere in the upcoming U.S. election to try to block Hillary’s path to the White House. Russian hackers

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Here’s The 30 Seconds After The Last Debate That CNN Would Rather You Didn’t See

Courtesy of ZeroHedge. View original post here.

Despite CNN’s embarrassingly aberrant claims that Hillary Clinton dominated the final debate…

And continued and constant propaganda-peddling that the race is over because Trump’s sexual assauly allegations are “sucking all the air out of the room” compared to Hillary’s stream of WikiLeaks facts.

CNN made the mistaike of asking its focus group of real Americans who won the final debate… and instantly regretted it…

CNN Asks Its Focus Group Who Won the Final Debate… Then INSTANTLY Regrets It #PodestaEmails14

— Dan The Deplorable (@Daniel_Ohana) October 20, 2016

h/t @Daniel_Ohana

So when the CNN focus group was asked “did this debate help anyone make up their mind or possibly change their vote”, the results did not turn out how Goebbels they expected…

  • 5 Clinton
  • 10 Trump
  • 0 3rd Party
  • 6 Undecided

Lesson learned – don’t let ‘average joes’

Which might help explain this:


It appears it is time for another ‘tweak’ to that polling methodology.

And some polls have him leading…

‘Rigged’ Debates? Questions Arise Again Over Lighted Screen At Hillary’s Podium

Courtesy of ZeroHedge. View original post here.

After the first debate, numerous videos surfaced alleging that Hillary was using some sort of teleprompter built into her podium to assist with answering questions or to offset whatever medical condition she’s dealing with.  The videos were largely dismissed as “cooky alt-right conspiracy theories” and didn’t get much attention outside of those spheres. 

But, when similar abnormalities surfaced on Hillary’s podium in the third debate, combined with the fact that she spent an awkward amount of time during her answers peering down rather than at the camera, we grew a bit more curious.

With that said, here is a video analyzing the abnormalities from debate 1.  Notice that around 18 seconds into this video one can very clearly see a light shut off on Hillary’s podium even though there is no such light at Trump’s podium.

But, you don’t have to take that guy’s word for it.  Here is the actual debate footage from forward to the 1:38:30 mark at the very end of this video and you can see the exact same phenomenon.

And here is a screen capture from the end of the debate.  Notice there is a light on Hillary’s podium while Trump’s is completely dark.

Clinton Podium

But where things get really interesting is that the exact same phenomenon occurred at debate 3 this week as pointed out by the following video posted by Anonymous. 

Again, as you can see, there seems to be a light on Hillary’s podium…

Hillary Podium

…but none at Trump’s.

Trump Podium

And here is one more angle…

Hillary Podium

And the two together…

Hillary Podium

But again, no need to take our word for it as you can simply scan through the full debate footage posted by USA Today and see the phenomenon for yourself.  Also note that, at numerous points while answering questions throughout the debate, Hillary seems to be looking down at her podium for extended periods of time rather than at the camera…to the point that it was actually awkward for people watching the debate live.

Don’t believe it?  In the following video, fast forward to the 42:25 mark and watch Hillary’s eyes as she responds to the question…where is she looking? 

Now, recall that debate 2 was structured as a town hall discussion so this type of cheating

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“Fiat Money Quantity” & $11,000 Gold

Courtesy of ZeroHedge. View original post here.

Submitted by Alasdair Macleod via,

It is time to revisit the Fiat Money Quantity (FMQ), which totals US dollar money deposited in the banking system, the commercial banks’ money on deposit at the Fed and physical cash.

Besides alerting us to how the expansion of fiat money is progressing, an objective of this exercise is to give some guidance on the price relationship with gold. It is particularly appropriate at a time when banking analysts have turned generally bearish, believing that the rally in gold is now over.

The idea behind FMQ is to define the quantity of fiat money, which can then be compared with the value of monetary gold, which is some or all of the above-ground stocks of physical gold. A fuller description of FMQ can be seen here. The long-term chart update is shown below.

The chart shows the long-term trend of FMQ growth established before the financial crisis, and the subsequent effect of the monetary measures introduced to rescue the banking system. This rapid expansion of FMQ warns us of the potential effect of monetary inflation on prices. Most of this is for the moment latent, because the expansion of FMQ has been mainly of bank reserves held on the Fed’s balance sheet, and therefore not currency in public circulation.

The last monthly data point is September 1, and the rise of FMQ is showing signs of accelerating again. Within that acceleration, there has been a fall in bank reserves held at the Fed from $2,786.9bn in August 2014, to $2,265.3bn. This is more than compensated for by a greater rise in customer deposits and savings accounts, from $9,006bn to $10,571bn. The worry, when the Fed created excess reserves mainly through quantitative easing, was that these would be one day used to fuel fractional reserve lending. The other side of bank credit is customer deposits and savings, so the fear originally expressed has come to pass.

The expansion of bank lending can also be detected in the next chart, which is of M2 money supply minus M1, which gives an approximation of bank credit.

In this chart, the expansion to above-trend growth started at the beginning of 2016. Between the two charts, we can confirm that both customer deposits and bank lending are accelerating above recently established

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Quick Break from the Madness

Courtesy of ZeroHedge. View original post here.

Courtesy of George Washington

Things are nutty …

Hillary and the gang are trying to get us into war with Russia (and China?) …

The Fed continues to manipulate the markets …

We're being spied on by big gov …

Need a quick mental vacation?

Enjoy a few pics from my recent travels around Bali:

Kremlin Slams Demands For Assad’s Ouster As ISIS Kills Hundreds Of “Human Shields” In Mosul

Courtesy of ZeroHedge. View original post here.

While the recently unveiled Iraqi assault on Mosul (with US support) continues, in what some have speculated is an election stunt meant to liberate Mosul just ahead of the November 8 vote and provide a boost for the Hillary campaign, while others see even more ulterior motives, namely to “grant” ISIS fighters free passage out of Iraq and into Syria to fight Assad, there may be some complications. According to press reports citing Iraqi intelligence sources, today the Islamic State rounded up and killed 284 men and boys as Iraqi-led coalition forces closed in on Mosul, the terror group’s last major stronghold in Iraq.

Those killed Thursday and Friday were used as human shields against attacks forcing ISIS out of southern parts of Mosul, the source said. ISIS dumped the corpses in a mass grave at the defunct College of Agriculture in northern Mosul, the intelligence source said. The victims, including children, were all shot, said the source, who asked for anonymity because he is not authorized to speak to the media. CNN could not independently confirm the killings.

Separately, according to Reuters, roughly 1,000 people had been treated for breathing problems linked to toxic gases from a sulphur plant which ISIS militants are suspected to have set on fire near the city of Mosul. No deaths were reported in connection with the incident, said the sources at the hospital in Qayyara, a town south of Mosul.

* * *

At the same time, in Russia’s latest public bid to preserve the Syrian status quo, Kremlin spokesman Dmitry Peskov said in televized remarks on Saturday that Assad needs to stay in power to prevent the country from falling into the hands of jihadis, and added that the entire territory of Syria must be “liberated,” dismissing demands for Syrian President Bashar Assad’s departure as “thoughtless.”

There are just two options: Assad sitting in Damascus or the Nusra sitting in Damascus,” Peskov said in a reference to the Nusra Front, al-Qaida’s branch in Syria that renamed itself Fatah al-Sham Front earlier this year. “And Assad must sit in Damascus to ensure a political settlement.” The spokesman said the goal of the Russian campaign is to fight “terrorists,” saying that the fall of the Syrian government

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The Standard Of Living Of The Irredeemables Continues To Plunge As ‘Not So Hidden’ Inflation Soars

Courtesy of ZeroHedge. View original post here.

Submitted by Jim Quinn via The Burning Platform blog,

“Those who are capable of tyranny are capable of perjury to sustain it.” ? Lysander Spooner

We all know the BLS artificially suppresses the CPI through bullshit substitution adjustments, quality adjustments, and various other incomprehensible hedonic adjustments made by government apparatchiks at the behest of their politician bosses. Some obscure theoretical academic  calculation called owners equivalent rent accounts for almost a quarter of the CPI weighting.

It has no relation to reality as it has increased by only 12% since 2012, while the Case Shiller Housing Price Index is up 52% over the same time frame. The median price of existing home sales is up 30% over the same time frame. It also has no relation to rent increases, as they have gone up 22% nationally since 2012. It’s essentially a made up number by goal seeking bureaucrats doing the bidding of their establishment masters.

Prior to Greenspan and his cronies getting their grubby little non-callused academic hands on it in the 1980s, CPI reflected measuring the cost of maintaining a constant standard of living, as measured by a fixed-basket of goods. The purpose of all these adjustments and calculations has been to systematically repress the reported level of inflation as a way to keep the Social Security system solvent, allow the Federal Reserve to keep interest rates falsely lower for their banking cartel owners and the biggest debtor on the planet – the U.S. government, and to conceal from the average American how far their standard of living has fallen. It ain’t working.

The average household might not know real median household income is at the same level it was in 1989, but they know they are treading water on a daily basis – using credit cards to sustain themselves while paying 15% interest to the Wall Street banking cartel.

They know their wages are stagnant and their every day costs relentlessly rise. Real hourly wages, using the fake CPI, are up just 1.4% in the past year. In reality, using an accurate measure of inflation, real wages are falling. The government can tell them inflation is only up 1.5% in the last year, but they know better. Their real everyday inflation is north of 4%, as measured before the 1990 coverup began. Now,

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Meet The Man Who Can Expose “The Real Hillary Clinton Scandal”

Courtesy of ZeroHedge. View original post here.

We have written frequently about the internal Clinton Foundation power struggle between Chelsea Clinton and Doug Band over the previous couple of weeks (see here, here and here).  It all started back in 2011 when, as Chelsea started to take a more senior role at the Clinton Foundation, she became increasingly concerned about an internal audit that exposed glaring conflicts of interest throughout the Foundation with an emphasis on Doug Band and his company, Teneo, who she thought had inappropriately sought favors from the State Department during Hillary’s tenure as Secretary of State.  A Politico article from March 2015, summarized Chelsea’s rise at the Foundation and how it threatened some long-time Clinton allies who had grown quite accustomed to the status quo. 

But Chelsea Clinton’s rise at times has seemed to threaten some veteran Clinton aides who had carved out influential—and lucrative—positions after long service with her parents. She is blamed in some quarters for marginalizing both Lindsey and Doug Band, who rose from the president’s body man to build and help run the foundation’s Clinton Global Initiative. A third Clinton veteran, Ira Magaziner, saw his portfolio at the foundation diminished during Braverman’s tenure, and sources say Magaziner’s role remains under scrutiny.

Now, new WikiLeaks emails reveal additional details behind the the man, Eric Braverman, who was brought in as CEO by Chelsea to change the controversial practices of the Foundation but abruptly resigned a short time later after being pushed out by long-time Clinton loyalists who had apparently grown very comfortable with the status quo.

Below is the new email exchange which begins when Neera Tanden warns John Podesta to “keep tabs on Doug Band” who she assumed was the insider who told NBC to “follow the money and find the real HRC scandal.”  Interestingly, John Podesta writes back quickly to identify the real source as former Clinton Foundation CEO Eric Braverman which seems to be shocking to Tanden who replies simply, “Holy Moses.”

Eric Braverman

So who is Eric Braverman?  The following excerpts from a Politico article offer the best summary of Braverman and his efforts, as a newly installed CEO, to breakup the Clinton

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Obama Warned Of Rigged Elections Back In 2008: “It Helps We Got Democrats In Charge Of Machines”

Courtesy of ZeroHedge. View original post here.

Submitted by Daniel Pickert via,

At a campaign rally for Hillary Clinton on Thursday in Miami Gardens, Fla., President Obama condemned Donald Trump’s “rigged election” claims, describing these remarks as “dangerous.”

“When you try to sow the seeds of doubt in people’s minds about the legitimacy of our election, that undermines our democracy,” he said.

“When you suggest rigging or fraud without a shred of evidence, when last night at the debate, Trump becomes the first major party nominee in American history to suggest that he will not concede despite losing…that is not a joking matter,” Obama added.

Trump said at the third presidential debate that he would keep the United States “in suspense” as to whether he would accept the election results. Later, at a campaign rally, he promised in a jesting manner that he would accept the results “if I win” as the crowd roared.

But despite condemning Trump for suggesting an election can be rigged, here is a clip of then-candidate Barack Obama in 2008 warning about voter fraud and suggesting Republicans could try to sway the election in their favor.

A female audience member asked… “I would just like to know what you can do to reassure us that this election will not be rigged or stolen?” Obama replies…

“Well, I tell you what it helps in Ohio, that we got Democrats in charge of the machines,” Obama said regarding the threat of election-rigging.

He continued, “Whenever people are in power, they have this tendency to try to tilt things in their direction. That’s why we’ve got to have, I believe, a voting rights division in the Justice Department that is nonpartisan, and that is serious about investigating cases of voter fraud.”

“That’s why we need paper trails on these new electronic machines so that you actually have something that you can hang on to after you’ve punched that letter—make sure it hasn’t been hacked into,” he added, admitting that even Democrats have “monkeyed around” with election results:

“I want to be honest, it’s not as if it’s just Republicans who have monkeyed around with elections in the past. Sometimes, Democrats have, too.”

Sounds pretty “dangerous” and “democracy threatening” to us?

AT&T Agrees To Buy Time Warner For $80 Billion In Biggest Media Mega-Merger In Years

Courtesy of ZeroHedge. View original post here.

As had been leaked over the past two days, moments ago the WSJ confirmed that AT&T has agreed to buy Time Warner in a deal worth more than $80 billion, or between $105 and $110 per share, with the transaction set to be announced “as soon as Saturday evening.”

The boards of the two companies are meeting on Saturday to approve the transaction, the WSJ said citing people familiar. The $80BN deal is half cash and half stock. The transaction brings together millions of AT&T wireless and pay-TV subscribers – recall AT&T’s most recent mega deal was its $50 billion acquisition of DirectTV – with Time Warner’s dep content and media lineup, including networks such as CNN, TNT, the cash cash that is HBO and Warner Bros. film and TV studio.

The transaction would be far and away the biggest media deal of recent years. Time Warner had a market capitalization of $68 billion before The Wall Street Journal reported on the advanced talks Friday, while AT&T’s was $233 billion. AT&T has been shifting its sights to media and video in recent years, diving deeper into television after its nearly $50 billion deal to acquire satellite television provider DirecTV last year. That made AT&T, which traces its roots to the old ‘Ma Bell, the country’s biggest pay television provider as well as its second-largest wireless operator.

As the WSJ writes, “the acquisition is valued at more than $80 billion and pushes the carrier deeper into the traditional entertainment business at a time of stalled wireless growth.” The good news for Time Warner CEO Jeff Bewkes, is that by rebuffing a takeover bid from 21st Century Fox two years ago for $85 a share, he has managed to generate another 30% in upside to shareholders all thanks to an epic scramble for yield, which is what will make this deal possible.

This latest megamerger would be the most ambitious marriage of content and distribution in the media and telecom industries since Comcast Corp.’s purchase of NBCUniversal and would create a behemoth to rival that cable giant. A rigorous regulatory review is expected and the acquisition of Time Warner likely wouldn’t close until late 2017, people close to the process said.

Regulators have indicated misgivings about the prior

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Zero Hedge

Shadows on the Cave Wall

Courtesy of ZeroHedge. View original post here.

Shadows on the Cave Wall


Cognitive Dissonance

(Plato had much to say about modern day ideological blindness.)

Nearly everyone thinks of the United States of America as a place, a physical location, some place you can live, visit, touch and see. And nearly everyone is wrong.

The United States of America is an ideology, a thought meme, a belief, a political religion, a concept and an idea. I am reminded of this every time Mrs. Co...

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Indexing as Imitation

By David Merkel. Originally published at ValueWalk.

I have sometimes said that it is common for many people to imitate the behavior of others, rather than think for themselves.  There are several reasons for that:

  • It”s simple.
  • It’s fast.
  • And so long as you don’t run into a resource constraint it works well.

People generally have a decent idea who their smartest friends are, and who seems to give good advice on simple issues.  If your neighbor says that the new Chinese food place is excellent, and you know he knows his food, there is a very good chance that when you go there that you will get excellent Chinese food as well.

You might even tell your friends about it; after all, you want...

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Market News

New You Can Use From Phil's Stock World


Financial Markets and Economy

Trillion-Dollar Payout May Mean Peak Largesse for U.S. Investors (Bloomberg)

A total $600 billion in share repurchases and $400 billion in dividends will be doled out by S&P 500 Index members by the end of the year, the biggest combined payout in history, according to strategists at Barclays Plc. Gravy like that is getting tougher to sustain as corporate profits suffer a six-quarter slump and cash levels begin to dwindle.

Deutsche Bank Could Be The “Lehman Moment” Of 2016 (Value Walk)


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Phil's Favorites

Another Lehman Blunder Coming Up?

Courtesy of Mish.

Telegraph writer Ambrose Evans-Pritchard says the Fed risks repeating Lehman blunder as US recession storm gathers.

The key problem with Pritchard’s superficial analysis is the Lehman bankruptcy is about the only thing the Fed got right.

Liquidity is suddenly drying up. Early warning indicators from US ‘flow of funds’ data point to an incipent squeeze, the long-feared capitulation after five successive quarters of declining corporate profits.

Yet the Fed is methodically draining money through ‘reverse repos’ regardless. It has set the course for a rise in interest rates in December and seems to be on automatic pilot...

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Kimble Charting Solutions

Bio-Tech; In more trouble if this fails, says Joe Friday

Courtesy of Chris Kimble.

At one point in time, actually for years, Bio-Tech (IBB) was a market leader. From the 2009 lows to 2015, IBB out gained the S&P by more than 250%. Since the summer of 2015, Bio Tech has remained a leader, a “downside leader!” IBB has lagged the S&P by over 35% in the past 15-months.

Is the downside leadership over for IBB? Below updates the pattern on IBB


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Chart School

SP500 Status Pre US 2016 Elections

Courtesy of Read the Ticker.

Where have we been, what does the future look like?

More from RTT Tv

NOTE: does allow users to load objects and text on charts, however some annotations are by a free third party image tool named

Investing Quote...

..."There is what I call the behaviour of a stock, actions that enable you to judge whether or not it is going to proceed in accordance with the precedents that your observation has noted. If a stock doesn’t act right don’t touch it, because, be...

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Members' Corner

The Orlando Massacre Part 3

Courtesy of Nattering Naybob.

A continuation of a Naybob of IT's Natterings from Part 1 and Part 2...

While many Christian churches expressed grief and offered free funeral services for the victims of the Orlando shooting, the fundamentalist Westboro Baptist Church held an anti-gay protest during the funeral of the victims.

But the Westboro Baptist Church's protest rally was blocked by about 200 people who formed a human barricade on the main street in downtown Orlando, ...

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Swing trading portfolio - week of October 17th, 2016

Reminder: OpTrader is available to chat with Members, comments are found below each post.


This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...

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Mapping The Market

The Most Overlooked Trait of Investing Success

Via Jean-Luc

Good article on investing success:

The Most Overlooked Trait of Investing Success

By Morgan Housel

There is a reason no Berkshire Hathaway investor chides Buffett when the company has a bad quarter. It’s because Buffett has so thoroughly convinced his investors that it’s pointless to try to navigate around 90-day intervals. He’s done that by writing incredibly lucid letters to investors for the last 50 years, communicating in easy-to-understand language at annual meetings, and speaking on TV in ways that someone with no investing experience can grasp.

Yes, Buffett runs an amazing investment company. But he also runs an amazing investor company. One of the most underappreciated part of his s...

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Digital Currencies

Gold, Silver and Blockchain - Fintech Solutions To Negative Rates, Bail-ins, Currency Debasement and Cashless

Courtesy of ZeroHedge. View original post here.

By Jan Skoyles

I was so pleased yesterday by the announcement that I have joined the Research team at GoldCore as it meant that I could finally start talking about it and was back in a role that lets me indulge in my passion by researching and geeking out on all things gold, silver and money.


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Epizyme - A Waiting Game

Reminder: Pharmboy is available to chat with Members, comments are found below each post.

Epizyme was founded in 2007, and trying to create drugs to treat patient's cancer by focusing on genetically-linked differences between normal and cancer cells. Cancer areas of focus include leukemia, Non-Hodgkin's lymphoma and breast cancer.  One of the Epizme cofounders, H. Robert Horvitz, won the Nobel Prize in Medicine in 2002 for "discoveries concerning genetic regulation of organ development and programmed cell death."

Before discussing the drug targets of Epizyme, understanding epigenetics is crucial to comprehend the company's goals.  

Genetic components are the DNA sequences that are 'inherited.'  Some of these genes are stronger than others in their expression (e.g., eye color).  Yet, some genes turn on or off due to external factors (environmental), and it is und...

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All About Trends

Mid-Day Update

Reminder: Harlan is available to chat with Members, comments are found below each post.

Click here for the full report.

To learn more, sign up for David's free newsletter and receive the free report from All About Trends - "How To Outperform 90% Of Wall Street With Just $500 A Week." Tell David PSW sent you. - Ilene...

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PSW is more than just stock talk!


We know you love coming here for our Stocks & Options education, strategy and trade ideas, and for Phil's daily commentary which you can't live without, but there's more! features the most important and most interesting news items from around the web, all day, every day!

News: If you missed it, you can probably find it in our Market News section. We sift through piles of news so you don't have to.   

If you are looking for non-mainstream, provocatively-narrated news and opinion pieces which promise to make you think -- we feature Zero Hedge, ...

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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Ilene is editor and affiliate program coordinator for PSW. She manages the site market shadows, archives, more. Contact Ilene to learn about our affiliate and content sharing programs.

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