15 SEP 2010, Wednesday (Early AM)

• Fun and games with the FED POMO money talked about in the last line of the last post???  (Charts courtesy of http://market-ticker.org/akcs-www?blog=Market-Ticker)
• Yesterday in the AM (Tuesday), above, currency manipulation alert big time here...forcing fast and hard moves...on the left Euro, middle Australian Dollar, and right US Dollar.  Yup...your US Dollar is getting crushed....'cuz Bernanke is ordering it beaten down.  Moves like that can only occur with huge money.  Think about that....he wants you to be able to purchase less with that dollar.  Nice huh?  This is government desperately doing what it can to prop up crap that shouldn't be propped.
• And overnight, Japan responds by intervening on behalf of its own currency...hasn't done that since 2004!  You can see the results below...that's the US Dollar versus the Japanese Yen.  So, yesterday's AM move and last night's late night move....Sheesh!  A whole boat load of currency traders were absolutely annihilated.  Make no mistake, those moves are the market's equivalent of war...a full on frontal assault in an attempt to drive your enemy back and crush him.

• Interesting how this is happening right around the SP500 1130 breakout level.  Are the powers that be doing everything they can to try and jump and hold that level?  Or is it just coincidence?  We are in that "decision" area for the market.  Hopefully we can get some more clues soon...it will be a tussle back and forth for a little bit while the bulls and bears duke it out.
• Bernanke has been trying to knock the US Dollar down and now Japan says, "Enough".  Does this break Bernanke's plan?  
• When currencies start behaving like this...other markets will be impacted.  Things could get real interesting, dicey or scarey depending on your perspective.
• Be careful out there.
• I'm just trading lately...no holding....and judging by these types of moves...I'm glad.