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Strategies & Market Trends : John Pitera's Market Laboratory

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To: nspolar who wrote (7939)6/9/2007 10:32:51 AM
From: Hawkmoon  Read Replies (1) of 33421
 
Falcon,

Thanks for those great charts. It seems to confirm my suspicion that Tech rallies along with the USD. Looking at the USD from 1996-2001, we can clearly find a correlation in that one particular instance. But I'm not old enough, I guess, to identify a previous "tech bubble" earlier and correlate it with movement of the USD, so it could be statistical fluke.

As for the Yen, that is interesting.. So you think it will break out to the upside within 5 years or so? That would seem to correlate with the demographic projections of 1 in 4 Japanese being over 65. So will it fail under the weight of the tremendous Japanese national debt and the risk of pensioners extracting deposits to live on. Or does it indicate a major depression/recession on the way similar to what occurred in the '90's?

And yes, it might be worth looking at short positions in the other currencies. Also, with the XAD, it would seem interesting to theorize if that will deflate some of the exuberance for Uranium prices since a top in that currency should translate to a currency arbitrage (Australia being a major supplier of Uranium).

I just LOVE to think to about all of these correlations.. ;0)

Hawk
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