We Get An Official Confirmed Hindenburg Omen On August 20th, 2010

We got a second official confirmed Hindenburg Omen observation Friday, August 20th, 2010 after getting a first observation Thursday, August 12th, 2010, meaning we are now on the clock watching for a stock market crash. There is a much higher than normal probability of a stock market crash starting sometime over the next four months. All criteria were met Friday. August 20th's observation saw 83 NYSE New 52 Week Highs, and 95 NYSE New 52 Week Lows according to the Wall Street Journal, the lower of the two coming in at 2.64 percent, above the 2.2 percent threshold required for a Hindenburg Omen observation. Total NYSE issues traded were 3,143. New Highs were not more than twice New Lows, the McClellan Oscillator was negative at negative -106.46, and the 10 Week Moving Average is rising. This second observation on August 20th has occurred within the required 36 day period necessary for a cluster (two or more observations) to occur.

Iran Situation and WW3

Ok, there is alot of talk about a war with Iran right now. I think these concerns are legit. World War 3 (with China) has been scheduled for 2015 for over 20 years now. Due to economic factors, this agenda might be ramped up a bit. This will start with Iran, a major source of Chinese petroleum and spread from there. The whole idea of the Afghanistan conflict is to block the Chinese from putting oil pipelines through the region. That's the big factor, the opium production and vast untapped mineral wealth are important too, but secondarily so.
Remember the Bosnian conflict of the 90s? Well that enabled the US to set up the Kosovo Liberation Army, the KLA. This was a forward base of operations supporting the Chenya conflict, aimed against Russia. (Yes, oil producing region.) The KLA are a mafia that funnels Afghan opium, transported by the Kurds, into Europe. The proceeds fund CIA black operations worldwide and may also be funneled through the Cayman Islands and other offshore locations to support Wall Street when necessary. When Jimmy Carter got into office, he appointed Stansfield Turner to direct the CIA. His job was to throw out Poppy Bush and "The Boys." So they uh, "privatized." The KLA traffic narcotics, weapons, women, children and terror. But they seem to specialize in Eastern European women and children. Along with Dyncorp.
This was serious business to Russia, as they view this region as part of their cultural sphere of influence. World War 3 almost broke out in '00 with the sinking of the Kursk. The Russians didn't like that at all. When the US went to war with Iraq 3 years later, thousands of Russian troops volunteered to fight in Iraq. Against us. What few weapons the Iraqi resistance did not obtain through Poppy Bush and Hillary Clinton's American LaFarge group, they got from Russia. Didn't you know the Clintons work for the Bushes? Ha ha ha. The Bushes work for the Harrimans. The Harrimans work for the Rockefellers.
When Bernanke talks about "dropping money from helicopters" to prevent deflation, what he really means is funneling money into the economy through establishment supported (and protected) organized criminal activity. (This activity is hardly limited to Kosovo. It goes back to WW2. And even farther to the Opium Wars. But I digress.)
As to Tarpley's analysis of US dollar hegemony, I must say I concur. You can see in my archives how I was tracking the fall of the Euro. (The trend is your friend, until it ends, because then, it bends!) Well, I had a total hardware crash and haven't recovered yet, so I haven't been following it lately, but I guess it's looking like the trend may be over. I still think the Anglo-Americans will win, though. LOL.
Here's one thing Tarpley doesn't bring up. Yeah, the Anglo-Americans want to maintain US Petrodollar hegemony. But I don't think they necessarily want to create demand for US dollars by increasing the price of oil. If they could get more for oil, they'd love that, but the price of oil (and gold) is an indicator of inflation. They want their currency to SEEM like it is worth more than it really is, so they can get more for it, even though they print it out of nothing. The whole point of the Militarization of the US (and the war on Iraq) is that we want to use our military to force other countries to take our losses for us. Saddam started selling oil in Euros. Bad, bad Saddam!
Here's the real issue, as far as I'm concerned. This is called "Petrodollar recycling." Imagine you go to the store and you buy whatever you want. You write a check out to pay for it. Now instead of cashing that check, the store LENDS THE MONEY BACK TO YOU. Pretty good system, isn't it? Well, now imagine it's 40 years later, and they wanna start CASHING ALL THOSE CHECKS. Well, the Saudis have been taking all the money we spend on oil and investing it back into US dollar denominated assets. That's part of a secret agreement Kissinger made with them in the 70s. They even got their own plates to print out US dollar paper money. But if you hold trillions of dollars, and the dollar keeps being worth less and less, you're losing alot of wealth.
Here's what's going to happen. Israel will attack Iran. Sooner or later. Obama is against it. He's doing what he can, but he only has so much power. Brzezinski is his boss.
Brzezinski has been busy promoting "Color Revolutions" throughout Eastern Europe that past five years or so. George Soros and the National Endowment for Democracy are his boys. Anyway, the goal is to encircle China geopolitically. With military bases and shit.
Well Brzezinski's big thing is proxy war. Originally he wanted to use diplomacy to get Iran on our side. (I use the term "our" rather loosely. LOL. It refers to the Anglo-American Global Dominance Group.) Anyway, his original plan was to use Iran to attack Russia. He's crazy. He grew up in Poland during WW2 and has alot of crazy bitterness towards Russia. He's an old line cold warrior. His bloodline has a perverse multi-century aristocratic feud with Russia. He also bears a striking resemblance to The Abominable Dr. Phibes. But once again I digress.
The NeoCons are too powerful for Brzezinski's Trilateralist faction. I think this is some sort of compromise. Amadinejad himself works for the NeoCons, imo. That's another factor, as do Merkel and Sarkozy. So it's looking like Iran is "back on the table." It will start between Israel and Iran, but it won't end there. China will move against Taiwan. That's the fuse that will ignite a new World War. (Russia and China will enter an "Axis of Evil" with Iran. They won't be for us, they'll be against us!)
It's just a grand geopolitical experiment, really. The US is right where Britain was 100 years ago. But the British military had been badly depleted in the Boer War. The US, like Britain then, is the unchallenged widely acknowledged yet declining superpower. China is in the position the US was 100 years ago. A vast untapped workforce on the brink of rising to world hegemony. But there is one difference. The US still has unchallenged military supremacy. The British had to draw the US into wars with Germany in order to win, twice. So it's a grant experiment. Will military supremacy be enough to maintain global domination? We'll see! It will be a lesson for all of history. Interesting times!
Here's what will happen if the US wins World War 3. The US will seize gold and mineral wealth from China, repudiate all foreign debt and impose war reparations not unlike those that were imposed upon Germany after WW1. The US will continue to use it's military power to force other nations to take their losses for them. They will continue to take losses not because of poor economic policy, but because of continued siphoning of wealth by the oligarchs. The entire planet will be enslaved!
If China wins, they will do the same thing, only instead of the Rockefellers being the oligarchs, it will be the Soong and the Li families. LOL.

The Hindenburg Omen Has Arrived

Easily the most feared technical pattern in all of chartism (for the bullishly inclined) is the dreaded Hindenburg Omen.

Fed Claims It Did Not Manipulate Currencies In Q2

In a prepared report, the Fed announces "U.S. monetary authorities did not intervene in the foreign exchange markets during the quarter." That's great, now if only they could do the same for all non-Treasury, MBS, and Agency (we know they more than intervened there) asset classes, everything would be peachy.

The Dallas Fed Reminds That The Economy Is Doing Much Worse Than In The Administration's Worst Nightmare

The Dallas Fed has released an economic paper titled "Keynes' Wet Dream"... just joking - the real titles is - "Can The Nation Stimulate Its Way to Prosperity" in which the author concludes wisely: "While the overall weight of the evidence suggests the stimulus plan has provided a short-term boost, it’s unclear exactly how large this boost has been. What is clear is that stimulus funds have exacerbated near-term fiscal imbalances."

Visualize Your State's Financial Collapse Better Than Ever

Food Stamp Usage Hits 18 Sequential Record High At 40.8 Million