Wednesday, December 17, 2008

Ponzi Scheme.

Bernard Madoff, the alleged mastermind of a $50 billion Ponzi scheme.
When the market is bullish,tons of financial planner or adviser,some are self-proclaim and unlicensed will be scouting around for their preys who do not wish to miss the bandwagon.
With the onslaught of the current financial rout,investors will have learnt their bitter lesson.
Nowadays,the financial instituitons are more of a supermarket selling and pushing all sorts of by-products to the unwary clients who put great faith in their brand.Their bottom line is profit to shareholders.They also manipulate with themes and tango to the tune of the market situation.
So those free lunch seminars are real good traps set upon us so that we subscribed to their offerings.
The internet is also full of ponzi scheme such as this and many others....Autosurf.
I have tried this A3Union with USD25/=paid by e-gold,got scammed after 6 months.It has representatives in Brazil,China,US,Australia,Argentina and even organised a grandeur seminar in a posh hotel in downtown Manila.(Philippines).
Beware!!all the presentation templates are look alike.Even you and me can buy one and set it up.Cost between USD50-USD300.

Tracking the Dow on Wednesday,17/12/08
Roll-over Day for Dow Futures.
9:30am:--A 100.00 points Gap-Down.
Morgan Stanley (MS) announced a loss of $2.24 per share for its fourth fiscal quarter. The consensus called for a loss of $0.34 per share
10:30am:--Bullish engulfing.
The Wall Street Journal reports that the incoming presidential administration is considering injecting more capital into banks, creating a market for illiquid assets, and helping troubled borrowers as part of an effort to combat the financial crisis.
11:30am:--Pullback with a bullish spin.
Energy traders continue to anticipate a production cut from OPEC, which is meeting today.
12:30 noon:--Indices at MAV level with graveyard dojis.
OPEC announced it will cut daily production by 4.2 million barrels from September output. It is cutting 2.2 million barrels from current daily production. Many fear, though, that higher oil prices could further depress consumer spending.
1:30pm:--Bearish Dark Cloud cover.
Financial services giant Citigroup (C 8.00, -0.23) has remained in a rut after an article from The Wall Street Journal indicated banking regulators are increasing their oversight of Citi, suggesting an increased concern regarding Citi's financial status.
2:30pm:--Hangman.
Trading came without concerted leadership.
3:30pm:--Technical retracement in this limited time of trading.
4:00pm:--Bearish Hammer.
Citi's financial health might seeps in again.

Wall Street finished moderately lower Wednesday, as further signs of economic deterioration dampened investors' earlier enthusiasm about the Federal Reserve's record interest rate cut.
As it is roll-over day prior to Friday's Dow Index expiry,selling position is imminent from the previous bull position.