In the good old days, before QE changed everything, any signs of strength from copper could be construed as a positive development for the markets and vice versa. However, based on the price action of copper, the US markets should have crashed long ago, but they diverged strongly. Propped by hot money the markets continued to soar higher. One wonders, what will unfold when copper does finally put in a bottom? Market Update Oct 2nd, 2015.
Psychological and chemical warfare picking up steam.
The Fed has been so successful and probably so happy that their game plan to recreate reality has been embraced with so little resistance from the masses, that it might actually allow copper and the markets to rally together, further cementing the illusion that all is well and that the world nor the markets can function without Fed intervention. What everyone needs to understand right now is that there are two things taking place right now. Firstly, the elite players are busy culling the herd; they are taking out many of the so-called big players (these are really middle players; anyone famous is not a big player and is disposable. They are just a more refined form of cannon fodder). The real power does not show its face. Secondly, there is a new psychological test going on. Remember that we have always stated that America is the test bed for psychologically and chemically based operations. Chemically in terms of the toxins that are administered in the food and water supply. Psychologically in terms of how far they can brainwash an individual. The goal now is to see if they can make the masses accept concepts that would appear insane to the rational person. So far, based on our calculations, it is working marvelously. When a person or an entity gets a taste of raw power, they never pullback, they seek more and more. Hence, things cannot end well in the U.S. Why bother to allow natural economic forces to work out the excess the system has built when you can achieve the same thing by creating money out of thin air. Sure the people will suffer, no real jobs will be created, economic growth will be illusory in nature and only the very rich will become rich; as long as the massed do not revolt why bother doing anything else. This ploy is working marvelously in Europe and in the USA. In Europe, the Europeans are angry that they are being invaded by Muslim immigrants. This is the distraction. The truth is that their own governments purposely created the environment for this. The real story is that Europe’s birth rate is slow and their welfare programs far too large to continue supporting the natives. Chaos has to be created in order to make the natives forget the real story. They need a reason to inflate the money supply and destroy the currency. How do you do that? You create a situation that demands the creation of new funds, but off course if you need $100 billion for the situation, you over allocate and assign $1 trillion and most of this money goes into programs to make the rich richer. This scheme has worked for generations and will continue to work because the masses never catch on. The religious wars that will unfold in Europe were planned in advance, and the populace buys it. In the U.S., the strategy was and is slightly different. Here the populace is made to believe that we need to teach the world how to be democratic; when, in fact, we are probably nothing more than a police state. So fake wars are created where we supposedly get rid of dictators and try to stabilize the area. Our track record has been an utter failure in this department, but the rich have become richer and the poor, have become poorer. You would think the practice would end, but we are busy trying to free Syria and after that there will be some other desperate nation or situation that needs our help. Each adventure costs billions and billions and if you look at it, there is always some corporation making out handsomely from all these exploits.
We stated long ago, that we are now in the age of money. Where the majority will no longer frown on doing any deed. The only factor that will determine if they do the deed, no matter how immoral or evil, will be the number of zeros you end your question with. Anything is for sale now, if the price is right. The situation will only get worse, there is nothing to stop it now. The trend is gathering steam and eventually an explosive top will be put in, but we are not there yet. So do not be surprised by anything. Everything is for sale. On that note expect the sale of the body part market to take off, legalized prostitution to gather steam; what is legalized prostitution, some of the marriages today fall under this category. Watch with shock as an option to lease before buying or option to lease and terminate starts to become associated with the act of marriage. Other things that will transpire; nations will start to rent out their militaries to the highest bidder. Hackers will become the new Gods, they will wreck terror on many government networks. A new group of Hackers is emerging these chaps will seek to curb the power of big brother and this war will not be friendly. These new hackers will not be the nerds that everyone assumes them to be, these hackers will be able to fit anywhere, they will look like the in-crowd. The biggest shocker, though we cannot lay a date to this event, will be the collapse of religions worldwide, when several corporations release technologies that will significantly increase one’s lifespan, bringing us one step closer to the age of immortality. Then watch a new level of chaos unfold as all those who pretended to be religious let go and allow the wild and untamed side of themselves to manifest. Companies already have life altering technologies, but they are holding from releasing them.
What the hell does this rant have to do with the copper market?
Copper is a leading economy indicator right and is well-known as Doctor Copper. So if copper starts showing signs of strength, then the economy is expected to get better. Well, people only focus on the licit economy, but not on the illicit economy. If the economy does indeed start to improve, expect the illicit economy to explode and some of the things we mentioned are in the early stages of a massive bull market.
What to expect next?
Copper is now trading at key resistance. It needs to trade above 2.40 and close above 2.50 on a monthly basis, to indicate that a bottom is in place. We have several positive divergence signals and the trend indicator has strengthened and could trigger a buy signal soon.