Qe3 Confirmed

Richard Fisher on CNBS confirmed that the Fed will continue their rollover of over 900Billion in MBS on their balance sheets. In other words….propping up the Treasuries will continue. Fisher admitted that QE2 has been a failure. That the liquidity created has done NOTHING but stay on the Bank’s balance sheets. It’s obvious to me that Mr. Fisher did not understand the very purpose of QE 2….it was ALWAYS about the biggest banks balance sheets. The debt holders of these very banks are the owners of the Fed. You can do simple math. The purpose of QE2 was always to butress the balance sheets of these banks. It wasn’t that diabolical was it. It seems rather clear their purpose. Restore the balance sheets and make sure they are strong enough to get through the coming cataclysm, that they essentially created. I love it. Really its not that difficult to see is it?

Consolidation is still the game in the market. We are not going to crash. It may feel like torture to you if you are in the Precious Metals trade (as I am) but its more like “enhanced interogation” for those neocons that read this blog. We should experience a little further pain in the PMs if the MACD rolls over on the $HUI then we’ll have a nice double bottom in the next week. Stay and Play….the waters fine will be their mantra soon. This is an evil game if your money is vital for your survival. If you NEED your money then this game is NOT for you. This is another trader’s year as last year was. Consolidation/Accumulation is designed to make you lose confidence in your trade and that is what they are doing to the miners. Just go back and look at last year…..then look what they did at the end. gl all

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