Answering Readers’ Questions…

Hi everyone, hope your holiday season is going well. It looks like the downward spiral is happening in the market as predicted, despite the time period which is generally characterstically low in movement either way during the week of solstice or yule, Christmas/Hanukkah. 

I just want to say that I read on some financial blog a reference to a statement I made about gold a while back. From what I could tell at the time via the cards there wasn’t a really strong constant direction up, and despite the fact that people turn to precious metals to invest in during recessions and depression, it didn’t look like it was going to go be a straight shoot upward, which I found confusing.

Anyway, I laughed out loud when someone called me an idiot, or something like that, because I said the market was too volatile at the time of the question to predict. And the person posted something like: that twit obviously knows nothing about the market.

So let me assure you I really do know nothing about the market which I have stated numerous times. All I go on here is astrology and whether things look bad for a company, or a stock, or good. If you ask me questions about anything abstract, or that I don’t have a chart for I can’t answer you because I’m not an economist. I’m a freaky artsy, psychic, astrologer not a business/economist type.

That being said of course people are worried about their money which I’m happy to help with, but with the caveat that everyone knows I am just a psychic and an astrologer. I foresaw the first market crash a couple of weeks before it happened because of my psychic ability, but this was a general, “Get out of the market!” sort of warning that was hammered into my skull from whatever or wherever these things come from. And I picked the word tsunami back then (which later Greenspan used to describe the situation) because it felt like it was going to pull back, and then flood us, not tear us down like a tornado in one fell swoop or shake everything to pieces in a matter of moments like an earthquake.

So here goes with questions. The first is more of a comment from Grace who did some research on the world economy, and I’d like to share her post with everyone:

grace43

The government of Beligum fell this weekend due to the financial crisis and suspected corruption. http://www.nineoclock.ro/index.php?page=detalii&categorie=worldnews&id=20081222-20320

Apparently, those corporate fat cats have learned nothing. AP IMPACT: Wall Street still flying corporate jets

http://news.yahoo.com/s/ap/20081221/ap_on_bi_ge/meltdown_corporate_jets

On verge of failure, bank executives collected financial bonanzas, AP study finds

http://www.chicagotribune.com/business/sns-ap-executive-bailouts,0,568377.story

This is not just happening in the US. In a few minutes search, I found dozens of articles from around the world where corporate fat cats accepted government money that they insisted they needed to continue operations are now using this money so they can have enormous bonuses and fly around in corporate jets playing golf with one another! These same people time and count their underlings bathroom breaks and dock them an hour’s pay if they are five minutes late! I can’t tell you how angry I feel thinking about this on so many levels. Obviously, it is good to be the king.

Andrew Rumsey

Will Lehman Brothers recover from their Chapter 11 of Title 11 Bankruptcy? Should I hold onto what shares I have and possibly buy more or should I sell my Lehman Brothers shares?

Hey Andrew,

Do you have an incorporation date or a start trading date for this company. I need the date, time and place and I can run a chart and let you know what I find. If you could research that for me I’ll be happy to let you know.

Also there were questions about FAZ, which I will get to later, but in the mean time can anyone explain to me what this is? You don’t need to go into too much detail, just give a basic run down, something to clarify what it is that I’m reading.

OK for now that is all. I have so much to do with the holidays as everyone does and my husband was out of town for two weeks, leaving me alone with a little baby so besides getting sick this past week, I’m way behind on everything.

Have a great holiday week.

Best wishes and many blessings to all of you,

Denise

Answering Readers’ Questions…

Hi Everyone:

If I don’t get to post for the next couple of days that’s because I’m in a non-wireless zone, so hopefully I will be able to wish you all a happy Thanksgiving on Thanksgiving, but if not:

Happy Thanksgiving!

OK, now more questions. This first one is very important because remember all the financial posts I had done and how if Barack Obama were to win our situation would actually get better, not immediately, but it still would be less dire even in the short term.

Well, I’ve been thinking a lot about that. I can feel the panic in the air as I’m sure all of you can, but I also have a feeling with this aggressive restructuring of the market we are currently undertaking, the beast will be tamed to a large degree. I’m not saying there won’t be people losing their jobs, and several shaky years when people will feel unsure about their employment, their investments and what’s going on in the world financially, but I am feeling (and seeing) that this Pluto aspect (once Obama is officially in office) will actually be more about restructuring then about total devastation.

It’s as if we were in a big car barreling down a freeway at 150 MPH, headed toward a sink hole when the passenger yanked on the car steering wheel and the car lurched away from our certain death, totaling the car, but everyone lives, and has varying degrees of injury. 

So while that sounds kind of insane and scary, and it is. Our future is not nearly as bad as it would have been. We have in a way, saved ourselves from certain disaster. We will still have to pay for the sins of corporate greed, but I believe their days (at least for several generations to come) of being robber-barons is over. And the world as a whole (if we stay on this path) will find its way out of crisis.

So here’s the first question from Anonymous:

From Anonymous:

The big concerns expressed by some economists, is the perilous time before the inauguration which obviously coincides with your prediction. Evidently, in the 1930’s, the delay between the Hoover administration and FDR’s was disastrous. It appears that Obama’s administration has been getting the message and he is inserting himself into the Bush administrations’ management of the economy. Do you see a possibility of the tsunami being avoided if this trend continues? (Hope springs eternal)

Hello Anonymous,

I won’t go as far as saying the tsunami will be entirely avoided because there’s only so much Obama can do until he becomes president, but I do feel his inserting himself into the situation is absolutely a blessing to us, and will soften the blow a great deal. I feel this for a number of reasons:

1) He is reminding us (while we are panicked) that there is a competent leader who will carefully and cooly appoint the right people, and delve right into this on day one to fix the problem. This is kind of like cuddling your baby when he has an ouchy. This in itself I feel is helping to some degree to reassure us from total panic.

2) He is making good well measured decisions that are inclusive of all sides of the argument, further reassuring us that he is willing to listen to whatever idea is best no matter what side of the aisle or whether it be left, right or center. I think this is very important right now that the best idea win, politics aside.

3) We are in uncharted territory here with the economic crisis, and conventional wisdom isn’t going to work. Even the financial experts, deep in the pit of their hearts know this, and we can all smell their fear. This is exacerbating the market because they keep lying to the public when they are aware that they really can’t give advice right now, there is too much novelty, too much emotion and things are far too volatile to predict. But Obama’s measured, cool demeanor and show of strength really helps to calm this sector down. People respond to strong leadership which he is showing. 

I do feel that we’ll have a strange couple of years, and by the time its over we won’t recognize the way the market works anymore. It will be very different. It’s the end of capitalism as we once knew it.

It will no longer be a free for all anything goes as long as it can make money sort of ideology.

As I’ve said before in many posts, there will be new international banking, and trading laws that we will have to abide by, and the world will come together to make sure this never happens again. This means a lot of dirty underbelly will be exposed and rooted out, and a new way of doing business will be ushered in.

So it’s really hard for me to know how many companies will collapse under the weight of these new laws, and how many will be strengthened by it, but my gut feeling is it will be corruption darwinism, with the worst offenders dying off. That being said it will take awhile to discover all the nooks and crannies of these company’s books, and the market will be pretty nutty for awhile.

From Amber:

Denise, I found the information on t mobile and when they filed the merger with the security and exchange commission to become t mobile. I hope this is sufficient info. 

Here’s the chart:

  

Hi Amber,

I don’t see anything catastrophic here. It looks like they will be fine through this, they may actually expand into other communication services, the worst of it is they may have to lower their prices, or cut rates and try to go into encouraging usage in a more traditional home phone kind of way.

Jean

Hi Denise,

Can you give me some advise on a couple of mutual funds? I had originally thought that I would just hold them through this – but if it is going to get much worse, perhaps I should sell. I just don’t know how low they will go, or how long it will take for them to recover.
MEURX
MDISX
Thanks,
Jean

Hi Jean,

Can you give me the stock names and also if you have their first trading or incorporation date in case I don’t have it in my database. If you can’t find it don’t worry I’ll try to find it, but if you can find info on it, then I will be able to answer you much more quickly.

Cathy

Hi Denise,

I am interested in the stocks for Boeing (BA) and Airbus (EADSY) – how this ecomonic crisis will effect them and should we hold out for the long-term?

Hi Cathy,

Here are 2 charts I found for Boeing:

There will be opportunity for them to be more profitable, but they have to make some major changes. It looks to me that this stock will be very volatile for the next couple of years, and go through some very major shifts, even perhaps changing what they are known for making and potentially getting more into experimental or innovation orientated/research driven work. That’s there best chance at staying valuable. Otherwise as Pluto makes opposition after opposition to Mars, Mercury (the chart ruler), Pluto and then the Sun, this company could go under, but that won’t be for awhile, not until about 2020. So you have some time here to decide when the best time to sell is.

I couldn’t find anything for Airbus. Do you have their incorporation date or the start date of when they began trading? If so please post it in a comment and I’ll run a chart for you.

Best wishes and many blessings to all of you.

And of course have a great Thanksgiving!

Denise

Answering Readers’, Stock Market Edition…

Hi Everyone,

Since we are in a market free fall and as predicted in Mid-September the real tsunami will happen at the end of Dec until the end of January. It won’t really be over then, but that’s when we’ll really see some scary stuff, much scarier then we have already. So in an effort to help as many of you as quickly as possible with all the instability on that front I’ve consolidated the stock market questions here. There are a lot, and I hope to get to them all tonight, but I maybe being too ambitious, we’ll see. I’ll try. If not today then they will be resolved over the weekend.

Let me remind all of you I’m a freaky psychic, artist type, and don’t know anything about the stock market. I’m only going on what my freaky psychic ability gives me and my knowledge of tarot, and astrology so when you write questions to me, make sure to dumb them down. Or I have to just go with the tarot and ask straight yes/no questions because I often don’t understand what the ins and outs are of particular financial issues, except for very basic stuff about how the market works.

I mentioned in a post a while back that there was a lot of money to be made on the down side of this market, but I wouldn’t advise people who aren’t super savvy with short selling, and all that jazz, to try this during this insane period. Would someone out there who does understand how to do this, please write a comment about the ins and outs of this to educate us? I will take the comment, and turn it into a post, and put it up with credit to whoever takes this on. Perhaps this could be a way for many people who lost a lot of money to make it back over the next couple of months. Think of spreading your knowledge as a public service.

OK, here goes!

 

 

hopeandaplan

Hi Denise,

Hope you are well. I know you must be getting overloaded with insights and chaos as things start to unravel. You know me with my Moon in Capricorn I am trying to shore up my nest egg… So i have two questions. The first is what do you think of shorting the Dow, betting that it will go down using a Dow etf short over the next 3 months?

Secondly, Etrade stock accounts are not FDIC insured so if we do have anything in the market when chaos strikes can Etrade confiscate it to cover their Banking and Lending arm. Their savings accounts are FDIC insured…. Thanks for looking out for us. All the best to you and your family!

Hi Hope and a Plan,

I think betting the stock market will go down is like betting ice will melt on a stove. I don’t know much about short selling but, yeah, it’s going to go down. And I do think you can make money betting it will go that way.

So I asked the cards if you could make money that way, just to make sure:

The answer: Maybe.

You really have to know what you are doing. If you get someone to help you, it looks like you know a man who is very generous who would be willing to give you advice in this area, then yes. But you really need to understand how all of it works, and your timing has to be impeccable so, talk to people, do research before you go for it.

I asked the second question to the cards.

Again a Maybe.

It seems that they will not have money, be economically depressed, and use their clients money to keep afloat, but I don’t have a feeling this will be legal. So they will eventually have to pay people back. But of course if they go out of business you’ll be out of luck. So you might want to be safe and put your money into one of the FDIC insured accounts where they can’t touch it.

oceanhawk1

I hate to say this, as it is not a profession that I believe is for the sane, however with these incredibly volatile swings in the market, I have gone back to my origins as a day trader and have been cleaning up. When i taught day trading for some the shops on Wall street, I told everyon 2-3 out of 10 may survive this style of trading. It might be time for short jump back to the days of the soes bandits!

Hi Oceanhawk,

Maybe you could educate us on how to short sell! I agree that if you are well trained and understand short selling and all that complex stuff, and are not a normal everyday person with some long term investments in the market, you can make a bundle. I actually talked about that in another post. However for normal people who stick their money in an IRA or 401k, or a couple of stocks and plan to keep them until retirement, those people need to get out and wait for awhile before re-investing when the market is stable again. Most people fall under that category. I wish I understood the market better to even begin to understand how to make money short selling.

I recently saw an episode of Nightline that addressed the issue of short selling, and talk of making it illegal in the future. It seems there were investors who were actually destroying companies to short sell and make money off them this way, which I guess was what set off this issue of making the practice illegal. 

 

 

Pat

Hi Denise

Appreciate your reply to my question re Centro and you asked for the start date. here it is-

Centro was incorporated as Jennings Properties Limited on 18 February 1985, and following a prospectus issued in August of the same year, shares were issued on the Australian Stock Exchange. In 1991 the Company was renamed Centro Properties Limited, and in September 1997, the Company was restructured to a stapled security structure named Centro Properties Group.

Hope this helps and also do not mind your reading using the tarot cards too. Just to refresh the question – Is this stock worth holding or to sell before the coming Tsunami around 21/22 Dec 2008? Or is there any hope of this company surviving?

One more question re your predicted Tsunami around 21/22 Dec- does that mean the US Dow will fall big time and the flow on effect on the rest of the world stock markets like here in Australia.

Thanking you in anticipation.
Pat

Hi Pat,

I can’t really run a chart without an exact date, and place at the least and since there are so many I wouldn’t know which was most useful. I’ll ask the tarot if it would be best to sell this stock before the end of December:

This is a Maybe. And I sense from the card layout, if you can wait a long time, it will be OK. If not sell within the next week or so. The sooner the better in this case.

In answer to the second question. That’s a big YES according to the tarot with the tower card coming up in the upright position — the super bad position. So it looks like the fall of our economy will trigger a domino effect that will sweep across all the markets like it did in October only in a much bigger way.

javahaaa

Denise, do you see any positive movement in the US stock markets – Dow Jones Industrial Average, S&P 500 or Nasdaq Composite in the next 2 weeks (Thanksgiving week, and 1st week of December), before your December tsunami begins in earnest? I trying to intuit if there’ll be some “bounce” up before that big downturn starts, and getting stuck. Thanks for your blog and answer – hopefully within a day or two!

I’ll ask the tarot. Will their be a “bounce” up in the S&P 500 in the coming three weeks?

The cards say yes and no. The next couple of weeks won’t be good but in about 3 weeks there will be big turn for the better before the plunge. Perhaps this will be when the announcement to bail out the auto industry takes place.

Will there be a “bounce” up in Nasdaq Composite in the next three weeks?

That’s a basic no. But it actually looks like next week there will be some sunshine and better spirits and then back down. It doesn’t quite look as dire as the S&P or the stock market though.

Will there be a bounce up in the Dow Jones Industrial Average over the next three weeks?

That’s a no. There maybe one day in a few weeks that looks OK, where it goes up a bit but that’s as good as it will get. That day will be in the middle of the week. And it won’t last, the volatility will continue until the plunge.

Hey Denise,

With so much talk about companies bankrupting...I was curious about the wireless
industry and what will become of Verizon, AT&T, and T-Mobile?
Thanks,
Amber
Sent from my BlackBerry wireless handheld.
Hi Amber, 
I couldn't find data for any company except AT&T Wireless. If you can find the start dates for the other companies I can run charts on them.
Here's AT&T's chart:
It looks like they will have problems with companies they have partnered with over the next couple of years but once they get over that aspect they will do really well. 
Actually they have an incredibly healthy and prosperous time starting in 2012. So it could be they take
a hit because of the economy and their investments like everyone else but will recover and do very well.


The next question is from someone wishing to remain anonymous:
Thanks, also, I have two stocks QCOM qualcomm and SNDK sandisk, that I am thinking of holding. But I'm not sure how they'll perform.
So here are the charts for Qualcomm and Sandisk:
Pluto is transiting Qualcomm's 12th house of loss. I have no idea what this company does or is, but it
isn't good to have Pluto transiting this house, that being said in 2014 transiting Pluto will be making
very good aspects to the natal Jupiter and the natal Moon as it conjuncts the natal Uranus. So there will
be some sort of unexpected restructuring that helps this company and makes it very profitable for a period
of time or a new technology or innovation that really gives them a boost. However, Pluto will be going
through this company's 12th for a very long time and will hit Neptune, then sextile native Pluto
so there will be up and downs, and a lot of restructuring behind the scenes, but ultimately when
Pluto goes over the ascendent in 2019, this company will be dramatically transformed or will parish.
Even though Pluto is going through the 12th (death and loss house) it is making good aspects.
So I would say in general this company will have some serious troubles, but manage to reorganize itself
and do OK once the market recovers a bit. Right now though Pluto will be on the cusp of the 11/12 houses
starting in the very beginning of December and that is very likely going to cause serious loss. So
if you can leave your money in this company for a long while it will probably be OK, but not until
2012.
Now for Sandisk:

Transiting Pluto is just about to make an exact inconjunction to the company's natal moon again in early December, late November.
Both are at 0 degrees. This aspect is not good for their investors, and I'm not going to bother with the astro speak,
just tell you that this will cause a crash in value for investors which will continue until transiting Pluto
opposes the company's part of fortune in Cancer in 2010. There will probably be some trouble then with
partnerships or legal issues they will have. Once they solve that they should do better in 2011. So if
you can wait for at least a couple of years, preferably longer, then you should recover some of the losses you will
have in the coming months. 
I can't say whether people will make money holding onto stocks however as I
have this weird feeling it's going to take a long time to get the market value up to the place it was
when most people bought their stocks. Even though things will be getting better. And companies maybe
doing OK, its sort of like what happened with the dot.com thing where everything became so overblown
there was now way to get back to where the height of those values were at their highest point.
It's my intuition that it will really take a decade for many people (those who remained in their blue
chip, stocks and made conservative investments) to get to the fiscal place they were a year or so ago.
I feel the value of the markets will rise as things change, but it won't be the wild ride we've seen, it will be more of
a steady goat climbing a mountain.

OK, my baby just woke up so I have to excuse myself and answer the following questions tomorrow:
Here's a sampling of the next batch.
Best wishes, many blessings and good luck to all of you!
Denise
 
awesome888
Hi Denise,

Thanks for the reply. In regard to further info,

OZ Minerals is a merger between 2 companies - Oxiana and Zinifex.

The name OZ Minerals was approved by share holders on 18 July 2008 and started trading under that name on 23 July 2008. Hope this is sufficient info.
God Bless
Gurdeep
barry
For the people that have taken your advise and sold stocks and went to cash this year, when do you adivse investing again? I have a lot of cash in a money market fund in my 401k waiting to do this. I have a choice of 2 US domestic bond funds, 1 foreign fund and several US domestic stock funds. What would you invest in and when would you start? Thanks for doing this.
 
To
Hi Denise,
thanks so much for your blogs. I really enjoy coming back here. You have predicted a stock market “Tsunami” for December. Things are so extremely bad already… how much worse can it get…? Do you see the Dow Jones Index going below 6000 in December…? Also, do you expect Deflation or Inflation in 2009? Are they going to print so much money that the dollar becomes completely worthless and we will finally need a new currency, or o you see the dollar getting stronger, like right now?
Thanks a lot in advance,

your advice is truly appreciated!
Ninja
Dear Denise,
you are awesome. Thanks for taking the time and write to us all.
I am holding stock from the company AUY. Do you see the price going back up to between 10 to 30?
Thanks a lot,
keep up the great work,
Ninja
patrick
if Hillary becomes the Sec. State, hopefully she will not be excessively distracted by outside drama or personal career plans, etc.
Truthseeker
Hi Denise firstly i would like to thank you on answering my question about GM and i look forward to the answer on Iran. I agree with this blog on the Auto industry 100%. Even with a bail out of 25 billion this would only last 2 -3 months as it costs 11 billion to keep afloat For GM alone. They will run out of reserves in roughly 1-2 months time.
Grace
I’m afraid you are right there, Denise. :o( It’s too bad these people have to be so mean.
Do you think this bomb is from domestic or foreign terrorists?
Also, you’ll probably answer this tomorrow, but won’t Michelle Obama get bored just doing First Lady stuff? She’s a high powered lawyer herself with a promising career that she has just side lined. Will she be working in a professional capacity behind the scenes?
Another question about a woman and politics…
Chelsea Clinton worked a great deal on her mom’s campaign. She seemed to really be enjoying herself. She’s got the degree for it and she’s been around the halls of power all her life. It just seems natural for her to go into politics herself. Do you see Chelsea in politics in the future?
One last question, do you see a place for Arnold Swartzenegger in the Obama administration? I know he has asked to “join the team” several times publicly.
Thanks in advance! I love your blog.
jerry mulrooney
It’s a strange feeling within me that is so at peace and sees all possitive future experiences peaceful. I am not religious (organized religion) and cried when President elect Obama was elected. Obama seems like he gets it, worldwide. Whether he can make a difference with the problems we have today, will remain to be seen. Maybe he will convince the world to in John Lennons words, “give peace a chance”,
Marie
Thank you in advance for answering my question.
If Obama chooses Hillary for the Sec of State job, will she be a team player and represent him to well or will she be a disappointment to Obama?
Will Gov. Richardson be offered a position in the Obama Administration?