Thursday, January 26, 2012


How to trade the Hang Seng Index in view of Bernanke's new 'transparent communication' strategy unveiled just now?

Well, first of all Gold and silver going nuts tonight, melting up.

Guess when the statement was released by the FOMC

Completely logical, as a majority of the FOMC committee members "think" it will be late 2014 till interest rate is raised. Though Bernanke has said this is merely what they think and not what they will do, until the 'opinion poll' of when interest rates will be raised moves decisively towards the hawkish camp, this 2014 date will be viewed as what WILL HAPPEN.

Anyhow, we all know Zero Interest Rate Policy (ZIRP) is viewed as increasingly ineffectual, it should provide a nice pop when Hong Kong market opens in a few hours time.

I would chase this, for a few days, especially precious metals related investments. Go silver!

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