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Theta gang ain't shit.
Now's a good time for to get a lesson in the greeks you fucking retards. This document outlines the relative risks and rewards of certain trading strategies and how to manage risks along with some basic math and econ. This should be basic for most of you. Why do stocks go up? Because capital growth has a diminishing returns to scale. In the long run capital is used to create more capital generating growth until it balances with capital depreciation which is linear. You can increase the equilibrium capital accumulation by increasing savings rates essentially trading off short run consumption for long run consumption. The implications of this are that less capital intensive economies grow at faster rates than developed because developed economies are very close to hitting the equilibrium point and have to rely on technological advancements for long run growth. Not every economy is equal though, all have differences in economic institutions, government effectiveness and political norms which will also affect their long run effectiveness. Long story short if the government engages in ineffective policies like protectionism, price manipulation, overly burdensome regulations, underregulation, or inefficient redistribution programs the short run micro/macro picture will be hurt and reflected in the long run picture. The US has had a thriving stock market despite having relatively low growth because it has taken the first mover advantage in many industries. Global Tech, higher education, finance, and pharma are all centered in the US because the US policies have made doing business in the US the optimal choice for these industries. For as long as the US is a capitalist nation you can be sure that the stock market will go up in the long run. This is not necessarily the case for commodities or forex as higher growth has typically led to investments in productive efficiency outweighing increased demand in raw materials and exchange rates do not have a long run trend. Fundamentally, the stock market is a good place to invest savings into in the long run. Stocks and exponential returns. Stocks go up so you want to capture the value of price increases. Stocks have a delta of one and a gamma of zero resulting in a linear return to movement of the stock price. Long run capital accumulation, although diminishing, is still exponential and in the long run will return an exponentially increasing return to investment on stock. Linear gains * exponential increase in underlying = exponential gains. But what if things go down? In the short run stocks decrease in value at exponential rates which is absolutely fantastic for investors because exponential declines are diminishing in scale. 10% of 100 is 10, 10% of 90 is 9, 10% of 81 is less and so on and so forth. You may get linear returns from movement but you receive increasing returns to scale gains on the upside and decreasing returns to scale losses on the downside. Delta and Gamma Long options have even better fundamentals than stocks because they amplify the exponentiality through gamma. As an option moves into the money its delta increases creating exponential gains in value. As an option moves out of the money delta decreases, lowering losses. Thus options while having more risk per dollar than stocks have far superior risk returns in the short run. Theta and Vega The opposite is true of selling a call and you're put into the position of wanting to sell when times are most dire and hold when times are good. In exchange you get benefit from theta decay but if you can reasonably predict the movement of the market that's pretty much nothing compared to the gains from delta you could get investing the same amount of money into long calls. Selling also requires way more money further reducing its risk to return. But what about vega? When markets crash, volatility skyrockets. Long calls gain and the opposite is true once again for selling them. Mathematically, buying longs has the best return on risk of any option strategy but higher absolute losses when delta doesn't move in your favor. Selling longs or spreads has a way worse return to risk but you'll lose less money when delta moves against you and it's harder for any one position to lose all of its value. Theta gang isn't more profitable than bullgang, it's less risky per dollar spent. The reason market makers don't play like WSB retards is because they play on margin and the 20-30% losses we typically take and make back buying longs would cause their investors to flee bankrupting them. Strategy implications Longs
If you can reasonably predict positive price movement these should be your go to position to capture delta and gamma. Otm has better delta to price but comes at the cost of worse theta to price. I recommend getting slightly OTM options to balance collecting gamma with exposure to theta risk.
Optimal position size: The total size of spy correlated longs should not exceed 25-50% of your account balance. Only double down on a losing position if your longs get blown up. Your risk return from delta gets better the more blown up your contracts get and exponential gains can bring you back to green.
When to sell? Sell when you think there's a chance risk from theta or vega might outweigh delta gains. Also sell when the underlying moves against you but that should be obvious. Delta goes up the more you go into the money so its better to hold winners than profit take early when possible.
Profit taking: If you don't want bail from a position completely when you profit take consider selling a call to lock in most of your profits while retaining some delta risk with a debt spread.
You will take losses buying tons of longs but if you do it right your winners will outweigh your losers easily.
Selling naked longs
If you're doing wheel, go for it. Selling naked longs shouldn't be done otherwise unless you want to park your cash somewhere and bond yields are too long for your liking or you anticipate a IV decrease. The tradeoff is receiving gains from theta, smaller delta per dollar spent(lower risk) and less options leverage.
Credit spreads
For all intents and purposes OTM credit spreads are like selling naked with more leverage.
Edit: The prior statement was kinda wrong. Selling a wide credit spread is like selling a long. There's still a tradeoff with reduced gains from theta and reduced delta.
Debit spreads
When deciding between debt or credit make a prediction about whether IV will increase or decrease and whether you want risk up front or later.
Absolutely do not buy OTM debit spreads in any situation where you wouldn't buy the same position as a credit spread. Compared to a long call you're reducing your delta and vega in exchange for the possibility of theta gains as you reach the short leg of your spread. If you actually managed to reach the short leg of your debt spread before expiration a long call would have made many times more money and now you're stuck sitting on your debt spread waiting for theta to decay it to its maximum value at expiration. Every youtube resource I've seen on debt spread pricing is wrong, if your spread goes completely in the money you will not have something worth max value, you will have something that decays towards max value akin to a close to the money credit spread.
The best usage for OTM debt spreads is as hedges where you think the price will reach a certain point at some specific point in the future and you're worried about adverse movements in delta or IV between now and then.
Edit: For what to do with your cash position, you could put it into gold, bonds, bond etfs, non spy correlated stocks or whatever. Low risk theta gang strats are fine in bull markets but don't expect to make real money from them. I'm cash since volatility is high, u do u.
[Hot talk] A must-see for Forex investors! As Fed's zero interest rate will be maintained until 2023, there are the three possible effects on the economy
Forex War QE enables more efficient circulation of global capital, and foreign exchange will become an important medium. Investors use the foreign exchange market to buy stocks, bond markets, futures markets, and even real estate markets in various countries. The foreign exchange market fluctuates violently. For foreign exchange investors who want to profit from it, or do not want to lose money, they have to look at the exchange rate cycle under QE. QE continues to depreciate the U.S. dollar, while gold and the euro appreciate. This is also what is happening in the investment market. However, after the implementation of QE for a long time, the foreign exchange market will enter a major reversal stage. During the period, the US dollar will begin to stabilize and rebound. The main reason is that the US economy is gradually improving. The Fed will gradually withdraw from quantitative easing, causing market funds to flow into the US dollar. The economy will have the opportunity to follow in the US. Gold and the euro will fall sharply at this stage. The improvement in the US economic environment will also attract capital to continue to flow into US dollar assets, and US stocks will rise. For example, since the 2008 financial tsunami, the United States has introduced three QE policies. From the attached EURUSD weekly line, we can see that after each QE launch, EURUSD will rise, and when the QE ends in 2014, European and American currencies have fallen sharply for several weeks. https://preview.redd.it/yz5qfktzttn51.jpg?width=700&format=pjpg&auto=webp&s=211f6a461f0a2ea2fbe68d6706e81bd9f2030a28 Inflation Under the economic contraction, the liquidity released by QE to the market will not cause inflation in the short term. However, when the economy improves and investors restore confidence, the excessively released liquidity may be transformed into inflation. As QE stimulated the speculative atmosphere in the market, funds flowed to the stock or property market, triggering a sharp rise in asset prices. Capitalists will be the winners under QE, and the actual wages of ordinary citizens will shrink. But the paradox is that the central bank wants to stimulate consumption, but consumers may be more cautious in the economic downturn. Many people choose to save, which reduces the circulation of money in disguise. Rising of Zombie companies Zombie companies may be arise. Some companies are already on the verge of bankruptcy under market competition, but they can barely maintain operations because of subsidies and low-interest bank loans. Because such companies are actually lacking in competitiveness, if the central bank gradually raises interest rates in the later period of QE, these companies are bound to close down, which will trigger another wave of unemployment. Sum up QE also brings many problems. First, if economic activities fail to cooperate, the most direct problem is to exacerbate the disparity between the rich and the poor; while hot money floods the market, loans increase, and funds flow to the stock market and property market. If QE continues for many years, it will form bubble assets in the long run. problem. https://preview.redd.it/yya3e0bpttn51.jpg?width=1080&format=pjpg&auto=webp&s=04696d1ad85e4cf92b9c5d3be475adf815d1b4e9 https://preview.redd.it/1wlo8krqttn51.jpg?width=697&format=pjpg&auto=webp&s=20e31577e03878f3b86128661e8c79d47353ef2b
As a financial capitalist, numerous individuals’ question: What is Binary Option? What are the opportunities as well as dangers of this noticeable lucrative industrial economic gadget? Simply just how is it different from the normal options of requestor terms, liquidity, advantages as well as likewise hazards in addition to negotiations? What is Binary Option? Binary Option is a monetary alternative that is classified as an international choice, which spends for capitalists. Depending on the area of the acquisition, Binary Alternative has different names such as managed return choices (US), all-or-nothing options, electronic options, and so on. Binary Choice can be accomplished very just. They simply require financiers to get (telephone call) or sell (put) according to their financial investment demands: When is the expiration day? Is the investment price greater or less than the price level at today? Predicting revenues as well as losses of the monetary investments is the biggest benefit of Binary Alternate trading. If successful, the collection incomes will certainly probably to you. If not, you will absolutely lose the cash spent. This makes it easy to determine which occupations have better revenues than losses perhaps. So, to make one of the most out of Binary Alternative trading, financiers call for to find a trusted system to spend and likewise trade on. ThisOption will certainly be such an option, a new system that is definitely most likely to produce a new age in the financing trading market. What is ThisOption? ThisOption is a Binary Option trading exchange with currently higher than 1 million participants energetic (2020). The exchange was founded in 2016 as well as is taken care of in Canada. ThisOption is proud to have among the greatest liquidity on the industry. The exchange promises fast order execution, assisting financiers perform thousands of successful as well as additionally seamless intraday professions. There are furthermore rather a range of trading possessions readily available on the exchange to purchase such as materials, indices, rare-earth elements, items, as well as forex money. Certainly, Binary Alternative is the highlight of the exchange capability, bringing brand-new possibilities to traders' profile. All these properties and also trading options are presented through an easy to use interface in addition to quickly browsed. In addition to that, the system provides a professional team of Customer Assistance constantly prepared to react to any kind of kind of worry 24/7. Getting Income with ThisOption When trading with ThisOption, individuals proceed via the rankings of the neighborhood as well as additionally get significantly much more benefits as they acquire a whole lot more experience as well as experience. Everybody begins as an essential trader that is self-trading with versatile time as well as likewise versatile sources which they handle themselves. Not everybody can succeed rapidly, though. They ought to not let their feelings overcome you when trading. Throughout trades, they need to find to grasp trading approaches, methods, to manage the threats, as well as also manage their funding’s suitably. There are devices to assist investors when they start in ThisOption such as the Expert Duplicate Tool, permitting them to pick up from exceptional and competent traders that have understood their trading strategies. Judgment ThisOptions expression is "Selection is more Important than Capacity". With all the choice of alternatives for trading, the platform ensures that its warranties are maintained with financiers throughout the globe. Website Link : https://www.extons.io Thisoption binary exchange : https://thisoption.com Whitepaper Link : https://www.extons.io/whitepaper Twitter Link : https://twitter.com/thisoption Telegram Link : https://t.me/thisoption ANN Threads Link : https://bitcointalk.org/index.php?topic=5263768 Facebook Link: https://www.facebook.com/thisoptionexchange Youtube Link: https://www.youtube.com/channel/UCb6ufyQv-hs5BcUx6j0q70Q Medium Link: https://medium.com/@thisoption.com Bitcointalk Username : tanushree My Bitcointalk Profile Link : https://bitcointalk.org/index.php?action=profile;u=2541771
Just 2 more Conspiracy Theories that turned out to be True
(i couldn't post in the previous one , word limit )
1.Big Brother or the Shadow Government
It is also called the “Deep State” by Peter Dale Scott, a professor at the University of California, Berkeley. A shadow government is a "government-in-waiting" that remains in waiting with the intention of taking control of a government in response to some event. It turned out this was true on 9/11, when it was told to us by our mainstream media. For years, this was ridiculed as a silly, crazy conspiracy theory and, like the others listed here, turned out to be 100% true. It is also called the Continuity of Government. The Continuity of Government (COG) is the principle of establishing defined procedures that allow a government to continue its essential operations in case of nuclear war or other catastrophic event. Since the end of the cold war, the policies and procedures for the COG have been altered according to realistic threats of that time. These include but are not limited to a possible coup or overthrow by right wing terrorist groups, a terrorist attack in general, an assassination, and so on. Believe it or not the COG has been in effect since 2001.After 9/11, it went into action. Now here is the kicker, many of the figures in Iran Contra, the Watergate Scandal, the alleged conspiracy to assassinate Kennedy, and many others listed here are indeed members of the COG. This is its own conspiracy as well.
The CIA and Its Allies in Control of the United States and the World is a book written by Air Force Col. L Fletcher Prouty, published in 1973. From 1955 to 1963 Prouty was the "Focal Point Officer" for contacts between the CIA and the Pentagon on matters relating to military support for "black operations" but he was not assigned to the CIA and was not bound by any oath of secrecy. (From the first page of the 1974 Printing) It was one of the first tell-all books about the inner workings of the CIA and was an important influence on the Oliver Stone movie JFK. But the main thrust of the book is how the CIA started as a think tank to analyze intelligence gathered from military sources but has grown to the monster it has become. The CIA had no authority to run their own agents or to carry out covert operations but they quickly did both and much more. This book tells about things they actually did and a lot about how the operate. In Prouty's own words, from the 1997 edition of The Secret Team: This is the fundamental game of the Secret Team. They have this power because they control secrecy and secret intelligence and because they have the ability to take advantage of the most modern communications system in the world, of global transportation systems, of quantities of weapons of all kinds, and when needed, the full support of a world-wide U.S. military supporting base structure. They can use the finest intelligence system in the world, and most importantly, they have been able to operate under the canopy of an assumed, ever-present enemy called "Communism." It will be interesting to see what "enemy" develops in the years ahead. It appears that "UFO's and Aliens" are being primed to fulfill that role for the future. To top all of this, there is the fact that the CIA, itself, has assumed the right to generate and direct secret operations. "He is not the first to allege that UFOs and Aliens are going to be used as a threat against the world to globalize the planet under One government."
The Report from Iron Mountain
The Report from Iron Mountain is a book, published in 1967 (during the Johnson Administration) by Dial Press, that states that it is the report of a government panel. According to the report, a 15-member panel, called the Special Study Group, was set up in 1963 to examine what problems would occur if the U.S. entered a state of lasting peace. They met at an underground nuclear bunker called Iron Mountain (as well as other, worldwide locations) and worked over the next two years. Iron Mountain is where the government has stored the flight 93 evidence from 9/11.A member of the panel, one "John Doe", a professor at a college in the Midwest, decided to release the report to the public. The heavily footnoted report concluded that peace was not in the interest of a stable society, that even if lasting peace, "could be achieved, it would almost certainly not be in the best interests of society to achieve it." War was a part of the economy. Therefore, it was necessary to conceive a state of war for a stable economy. The government, the group theorized, would not exist without war, and nation states existed in order to wage war. War also served a vital function of diverting collective aggression. They recommended that bodies be created to emulate the economic functions of war. They also recommended "blood games" and that the government create alternative foes that would scare the people with reports of alien life-forms and out of control pollution. Another proposal was the reinstitution of slavery. U.S. News and World Report claimed in its November 20, 1967 issue to have confirmation of the reality of the report from an unnamed government official, who added that when President Johnson read the report, he 'hit the roof' and ordered it to be suppressed for all time. Additionally, sources were said to have revealed that orders were sent to U.S. embassies, instructing them to emphasize that the book had no relation to U.S. Government policy. Project Blue Beam is also a common conspiracy theory that alleges that a faked alien landing would be used as a means of scaring the public into whatever global system is suggested. Some researchers suggest the Report from Iron Mountain might be fabricated, others swear it is real. Bill Moyers, the American journalist and public commentator, has served as White House Press Secretary in the United States President Lyndon B. Johnson Administration from 1965 to 1967. He worked as a news commentator on television for ten years. Moyers has had an extensive involvement with public television, producing documentaries and news journal programs. He has won numerous awards and honorary degrees. He has become well known as a trenchant critic of the U.S. media. Since 1990, Moyers has been President of the Schumann Center for Media and Democracy. He is considered by many to be a very credible outlet for the truth. He released a documentary titled, The Secret Government, which exposed the inner workings of a secret government much more vast that most people would ever imagine. Though originally broadcast in 1987, it is even more relevant today. Interviews with respected top military, intelligence, and government insiders reveal both the history and secret objectives of powerful groups in the hidden shadows of our government. Here is that documentary: vid For another powerful, highly revealing documentary on the manipulations of the secret government produced by BBC, click here. The intrepid BBC team clearly shows how the War on Terror is largely a fabrication. For those interested in very detailed information on the composition of the shadow or secret government from a less well-known source, take a look at the summary available here.
2. The Federal Reserve Bank
The fundamental promise of a central bank like the Federal Reserve is economic stability. The theory is that manipulating the value of the currency allows financial booms to go higher, and crashes to be more mild. If growth becomes speculative and unsustainable, the central bank can make the price of money go up and force some deleveraging of risky investments - again, promising to make the crashes more mild. The period leading up to the American revolution was characterized by increasingly authoritarian legislation from England. Acts passed in 1764 had a particularly harsh effect on the previously robust colonial economy. The Sugar Act was in effect a tax cut on easily smuggled molasses, and a new tax on commodities that England more directly controlled trade over. The navy would be used in increased capacity to enforce trade laws and collect duties. Perhaps even more significant than the militarization and expansion of taxes was the Currency Act passed later in the year 1764.
"The colonies suffered a constant shortage of currency with which to conduct trade. There were no gold or silver mines and currency could only be obtained through trade as regulated by Great Britain. Many of the colonies felt no alternative to printing their own paper money in the form of Bills of Credit."
The result was a true free market of currency - each bank competed, exchange rates fluctuated wildly, and merchants were hesitant to accept these notes as payment. Of course, they didn't have 24-hour digital Forex markets, but I'll hold off opinions on the viability of unregulated currency for another time. England's response was to seize control of the colonial money supply - forbidding banks, cities, and colony governments from printing their own. This law, passed so soon after the Sugar Act, started to really bring revolutionary tension inside the colonies to a higher level. American bankers had learned early on that debasing a currency through inflation is a helpful way to pay off perpetual trade deficits - but Britain proved that the buyer of the currency would only take the deal for so long... Following the (first) American Revolution, the "First Bank of the United States" was chartered to pay off collective war debts, and effectively distribute the cost of the revolution proportionately throughout all of the states. Although the bank had vocal and harsh skeptics, it only controlled about 20% of the nation's money supply. Compared to today's central bank, it was nothing. Thomas Jefferson argued vocally against the institution of the bank, mostly citing constitutional concerns and the limitations of government found in the 10th amendment. There was one additional quote that hints at the deeper structural flaw of a central bank in a supposedly free capitalist economy.
"The existing banks will, without a doubt, enter into arrangements for lending their agency, and the more favorable, as there will be a competition among them for it; whereas the bill delivers us up bound to the national bank, who are free to refuse all arrangement, but on their own terms, and the public not free, on such refusal, to employ any other bank" –Thomas Jefferson.Basically, the existing banks will fight over gaining favor with the central bank - rather than improving their performance relative to a free market.
The profit margins associated with collusion would obviously outweigh the potential profits gained from legitimate business. The Second Bank of the United States was passed five years after the first bank's charter expired. An early enemy of central banking, President James Madison, was looking for a way to stabilize the currency in 1816. This bank was also quite temporary - it would only stay in operation until 1833 when President Andrew Jackson would end federal deposits at the institution. The charter expired in 1836 and the private corporation was bankrupt and liquidated by 1841.While the South had been the major opponent of central banking systems, the end of the Civil War allowed for (and also made necessary) the system of national banks that would dominate the next fifty years. The Office of the Comptroller of the Currency (OCC) says that this post-war period of a unified national currency and system of national banks "worked well." [3] Taxes on state banks were imposed to encourage people to use the national banks - but liquidity problems persisted as the money supply did not match the economic cycles. Overall, the American economy continued to grow faster than Europe, but the period did not bring economic stability by any stretch of the imagination. Several panics and runs on the bank - and it became a fact of life under this system of competing nationalized banks. In 1873, 1893, 1901, and 1907 significant panics caused a series of bank failures. The new system wasn't stable at all, in fact, many suspected it was wrought with fraud and manipulation. The Federal Reserve Bank of Minneapolis is not shy about attributing the causes of the Panic of 1907 to financial manipulation from the existing banking establishment.
"If Knickerbocker Trust would falter, then Congress and the public would lose faith in all trust companies and banks would stand to gain, the bankers reasoned."
In timing with natural economic cycles, major banks including J.P. Morgan and Chase launched an all-out assault on Heinze's Knickerbocker Trust. Financial institutions on the inside started silently selling off assets in the competitor, and headlines about a few bad loans started making top spots in the newspapers. The run on Knickerbocker turned into a general panic - and the Federal Government would come to the rescue of its privately owned "National Banks.
"During the Panic of 1907, "Depositors 'run' on the Knickerbocker Bank. J.P. Morgan and James Stillman of First National City Bank (Citibank) act as a "central bank," providing liquidity ... [to stop the bank run] President Theodore Roosevelt provides Morgan with $25 million in government funds ... to control the panic. Morgan, acting as a one-man central bank, decides which firms will fail and which firms will survive."
How did JP Morgan get so powerful that the government would provide them with funding to increase their power? They had key influence with positions inside the Administrations. They had senators, congressmen, lobbyists, media moguls all working for them. In 1886, a group of millionaires purchased Jekyll Island and converted it into a winter retreat and hunting ground, the USA's most exclusive club. By 1900, the club's roster represented 1/6th of the world's wealth. Names like Astor, Vanderbilt, Morgan, Pulitzer and Gould filled the club's register. Non- members, regardless of stature, were not allowed. Dignitaries like Winston Churchill and President McKinley were refused admission. In 1908, the year after a national money panic purportedly created by J. P. Morgan, Congress established, in 1908, a National Monetary Authority. In 1910 another, more secretive, group was formed consisting of the chiefs of major corporations and banks in this country. The group left secretly by rail from Hoboken, New Jersey, and traveled anonymously to the hunting lodge on Jekyll Island. In fact, the Clubhouse/hotel on the island has two conference rooms named for the "Federal Reserve." The meeting was so secret that none referred to the other by his last name. Why the need for secrecy? Frank Vanderlip wrote later in the Saturday Evening Post,
"...it would have been fatal to Senator Aldrich's plan to have it known that he was calling on anybody from Wall Street to help him in preparing his bill...I do not feel it is any exaggeration to speak of our secret expedition to Jekyll Island as the occasion of the actual conception of what eventually became the Federal Reserve System."
At Jekyll Island, the true draftsman for the Federal Reserve was Paul Warburg. The plan was simple. The new central bank could not be called a central bank because America did not want one, so it had to be given a deceptive name. Ostensibly, the bank was to be controlled by Congress, but a majority of its members were to be selected by the private banks that would own its stock. To keep the public from thinking that the Federal Reserve would be controlled from New York, a system of twelve regional banks was designed. Given the concentration of money and credit in New York, the Federal Reserve Bank of New York controlled the system, making the regional concept initially nothing but a ruse. The board and chairman were to be selected by the President, but in the words of Colonel Edward House, the board would serve such a term as to "put them out of the power of the President." The power over the creation of money was to be taken from the people and placed in the hands of private bankers who could expand or contract credit as they felt best suited their needs. Why the opposition to a central bank? Americans at the time knew of the destruction to the economy the European central banks had caused to their respective countries and to countries who became their debtors. They saw the large- scale government deficit spending and debt creation that occurred in Europe. But European financial moguls didn't rest until the New World was within their orbit. In 1902, Paul Warburg, a friend and associate of the Rothschilds and an expert on European central banking, came to this country as a partner in Kuhn, Loeb and Company. He married the daughter of Solomon Loeb, one of the founders of the firm. The head of Kuhn, Loeb was Jacob Schiff, whose gift of $20 million in gold to the struggling Russian communists in 1917 no doubt saved their revolution. The Fed controls the banking system in the USA, not the Congress nor the people indirectly (as the Constitution dictates). The U.S. central bank strategy is a product of European banking interests. Government interventionists got their wish in 1913 with the Federal Reserve (and income tax amendment). Just in time, too, because the nation needed a new source of unlimited cash to finance both sides of WW1 and eventually our own entry to the war. After the war, with both sides owing us debt through the federal reserve backed banks, the center of finance moved from London to New York. But did the Federal Reserve reign in the money trusts and interlocking directorates? Not by a long shot. If anything, the Federal Reserve granted new powers to the National Banks by permitting overseas branches and new types of banking services. The greatest gift to the bankers, was a virtually unlimited supply of loans when they experience liquidity problems. From the early 1920s to 1929, the monetary supply expanded at a rapid pace and the nation experienced wild economic growth. Curiously, however, the number of banks started to decline for the first time in American history. Toward the end of the period, speculation and loose money had propelled asset and equity prices to unreal levels. The stock market crashed, and as the banks struggled with liquidity problems, the Federal Reserve actually cut the money supply. Without a doubt, this is the greatest financial panic and economic collapse in American history - and it never could have happened on this scale without the Fed's intervention. The number of banks crashed and a few of the old robber barons' banks managed to swoop in and grab up thousands of competitors for pennies on the dollar. See:
Perhaps, why not! However, what stops crypto from bullish growing? To my mind, the main reasons are not the volatility and lack of clear legal regulation, but the lack of new users (new blood), which creates a ‘’narrow’’ market. Why is this not a PR message? A message that can potentially attract the attention of brand new users who cannot take into account other investment tools (because of their complexity or high entry point or just because of the restrictions of policies of accredited investors). If you invested in bitcoin (or in another functional cryptocurrency) exactly a year ago, then even now despite the market drop caused by the new “black swan” - a recession against the background of coronavirus, you would get more than 35% growth. Why do we see that the audience of followers is not updated? Why all the projects are fighting for the same fans who entered the crypto before 2018 and continuing to place media uselessly on the same sites? As we all remember, until 2018, each project had access to 2 billion audience through a whole set of tools from advertising on social networks to context advertising. We used LinkedIn, reddit, twitter and of course, the 2 main tools for attracting traffic (google and Facebook). Each crypto project, using these marketing instruments, brought its advertising messages to a new audience, not only carrying out the KPI of the project, but also fueling up interest in the blockchain as a whole industry; thereby increasing the demand for crypto and its liquidity. Like any new financial instrument, crypto is faced with the resistance of the old financial system: · misinformation on TV and the mass media (crypto is a lie, crypto is a drug and terrorism) · pressure from regulators (SEC refused, limited, punished) · And, of course, a decision that has the most “destructive” effect - a ban on the largest advertising platforms in the world. Unfortunately, the sweet times before the “ban” can no longer come back. Since January 2018, advertising of blockchain and cryptocurrency projects on most of the platforms in the world and social networks has been prohibited. The first to limit the right to advertise were Google AdWords and DoubleClick, introducing a direct ban on advertising content in terms of cryptocurrencies and related materials. A similar situation with context advertising is in Yandex Direct. Social networks also show unfair attitude to the crypto industry. Nonetheless, the crypto industry is approaching a line that it becomes simply impossible to ignore. After all, no matter how the new model is revolutionary and capable of making the world a better place — it is doomed to die if no one knows about it. Of course, if you have a good marketing agency, and you are a large and successful venture blockchain project (from the top of best and most famous), with all the necessary licenses, you can still compete for banning in fb and google. Moreover, although it takes a long time, I know several projects that now have permission for official advertising. Despite the fact that the largest platforms have banned startup blockchain advertising, there are still ways to promote it. What should everyone else do? What to do for a new comer that is just entering the market. Or for an old project that failed to get into the top of the most recognizable? ‘’Use your existing inventory’’ - it seems like the most important piece of advice that almost every project follows. Now we see how hundreds of projects are simultaneously placing on the same platforms (crypto news, ICO listings, bloggers), squeezing the last attention and investments from the same target groups. What are the results? They are obvious. Fundraising is falling, the number of new users and investors is not increasing, and liquidity is falling. In addition, for these reasons, in the last year, crypto has finally turned out from an instrument that would destroy the hegemony of big money, into an instrument - not very studied and too volatile. What to do in order to revive the interest to crypto? Right now, to start to search and apply new traffic tools. Sources that can give huge coverage and this will help attract new users to your project, for whom you can become the first successful investment in the blockchain. What to study from? What and how to apply? The easiest way, as always, is to learn the experience of those who live in the world of advertising restrictions for a very long period. For example - casinos, forex, bookmakers, unlicensed video etc. We analyzed the largest representatives of these advertisers and chose the most effective method of placement, which appeared in the top of all advertisers – pirate sites with unlicensed content. It is also not a secret that many well-known offline and online retailers and not only are not ashamed of advertising on such sites along with advertising of the above-discriminated businesses. In addition, the crypto industry can be considered so far as discriminated in its rights. What makes pirate sites so attractive? The main sense of advertising on resources with unlicensed content is the incredibly large coverage of the audience at relatively low prices. The largest resources provide 10 million unique visitors every month. The cost differs depending on the format – pre roll, branding, banner, and order of display. Price - from $ 10 for 1 thousand unique views. It is also worth considering the possibility of paying with crypto and a simple workflow, which allows you to make placements for very young and unknown companies. Technically, such platforms can track all interested users, so that later they can activate their attention in other campaigns to optimize marketing and advertising costs, which will allow the advertiser to save the customer’s budget in such a financially turbulent time, while generating even more leads. Indeed, traditional media today are still too expensive and do not have such technical capabilities of their platforms. The millionth audience of pirate resources is explained by the fact that the user loves unlicensed content, and such a user has other interests and hobbies, including the crypto, blockchain, venture projects and much more, which is so discriminated in advertising by official media and social networks. The ethical issue in the modern world of capitalist chaos caused by the global crisis can be left aside, as for marketing strategies, such ‘’pirate’’ resources: · provide an opportunity to build moderate total project costs · save on advertising, but do not limit yourself in their use · as much as possible and as soon as possible can reach your target group and collect leads · despite of discrimination to the dissemination of information about the crypto and blockchain project, to have workarounds to gather your audience · not depend constantly on the changing policies of official expensive advertiser's platforms and their instructions That is precisely what projects need in order to be successful during the limitation and expensive media. If you are interested in the opportunities described above or you can offer services that will help crypto projects gather more audiences - feel free to write me: [[email protected]](mailto:[email protected]) or in telegram - u/golubev_serge Sergey Golubev (СергейГолубев) EU structural funds, ICO/STO/IEO projects, NGO & investment projects, project management, comprehensive support for business
Perhaps, why not! However, what stops crypto from bullish growing? To my mind, the main reasons are not the volatility and lack of clear legal regulation, but the lack of new users (new blood), which creates a ‘’narrow’’ market. Why is this not a PR message? A message that can potentially attract the attention of brand new users who cannot take into account other investment tools (because of their complexity or high entry point or just because of the restrictions of policies of accredited investors). If you invested in bitcoin (or in another functional cryptocurrency) exactly a year ago, then even now despite the market drop caused by the new “black swan” - a recession against the background of coronavirus, you would get more than 35% growth. Why do we see that the audience of followers is not updated? Why all the projects are fighting for the same fans who entered the crypto before 2018 and continuing to place media uselessly on the same sites? As we all remember, until 2018, each project had access to 2 billion audience through a whole set of tools from advertising on social networks to context advertising. We used LinkedIn, reddit, twitter and of course, the 2 main tools for attracting traffic (google and Facebook). Each crypto project, using these marketing instruments, brought its advertising messages to a new audience, not only carrying out the KPI of the project, but also fueling up interest in the blockchain as a whole industry; thereby increasing the demand for crypto and its liquidity. Like any new financial instrument, crypto is faced with the resistance of the old financial system: · misinformation on TV and the mass media (crypto is a lie, crypto is a drug and terrorism) · pressure from regulators (SEC refused, limited, punished) · And, of course, a decision that has the most “destructive” effect - a ban on the largest advertising platforms in the world. Unfortunately, the sweet times before the “ban” can no longer come back. Since January 2018, advertising of blockchain and cryptocurrency projects on most of the platforms in the world and social networks has been prohibited. The first to limit the right to advertise were Google AdWords and DoubleClick, introducing a direct ban on advertising content in terms of cryptocurrencies and related materials. A similar situation with context advertising is in Yandex Direct. Social networks also show unfair attitude to the crypto industry. Nonetheless, the crypto industry is approaching a line that it becomes simply impossible to ignore. After all, no matter how the new model is revolutionary and capable of making the world a better place — it is doomed to die if no one knows about it. Of course, if you have a good marketing agency, and you are a large and successful venture blockchain project (from the top of best and most famous), with all the necessary licenses, you can still compete for banning in fb and google. Moreover, although it takes a long time, I know several projects that now have permission for official advertising. Despite the fact that the largest platforms have banned startup blockchain advertising, there are still ways to promote it. What should everyone else do? What to do for a new comer that is just entering the market. Or for an old project that failed to get into the top of the most recognizable? ‘’Use your existing inventory’’ - it seems like the most important piece of advice that almost every project follows. Now we see how hundreds of projects are simultaneously placing on the same platforms (crypto news, ICO listings, bloggers), squeezing the last attention and investments from the same target groups. What are the results? They are obvious. Fundraising is falling, the number of new users and investors is not increasing, and liquidity is falling. In addition, for these reasons, in the last year, crypto has finally turned out from an instrument that would destroy the hegemony of big money, into an instrument - not very studied and too volatile. What to do in order to revive the interest to crypto? Right now, to start to search and apply new traffic tools. Sources that can give huge coverage and this will help attract new users to your project, for whom you can become the first successful investment in the blockchain. What to study from? What and how to apply? The easiest way, as always, is to learn the experience of those who live in the world of advertising restrictions for a very long period. For example - casinos, forex, bookmakers, unlicensed video etc. We analyzed the largest representatives of these advertisers and chose the most effective method of placement, which appeared in the top of all advertisers – pirate sites with unlicensed content. It is also not a secret that many well-known offline and online retailers and not only are not ashamed of advertising on such sites along with advertising of the above-discriminated businesses. In addition, the crypto industry can be considered so far as discriminated in its rights. What makes pirate sites so attractive? The main sense of advertising on resources with unlicensed content is the incredibly large coverage of the audience at relatively low prices. The largest resources provide 10 million unique visitors every month. The cost differs depending on the format – pre roll, branding, banner, and order of display. Price - from $ 10 for 1 thousand unique views. It is also worth considering the possibility of paying with crypto and a simple workflow, which allows you to make placements for very young and unknown companies. Technically, such platforms can track all interested users, so that later they can activate their attention in other campaigns to optimize marketing and advertising costs, which will allow the advertiser to save the customer’s budget in such a financially turbulent time, while generating even more leads. Indeed, traditional media today are still too expensive and do not have such technical capabilities of their platforms. The millionth audience of pirate resources is explained by the fact that the user loves unlicensed content, and such a user has other interests and hobbies, including the crypto, blockchain, venture projects and much more, which is so discriminated in advertising by official media and social networks. The ethical issue in the modern world of capitalist chaos caused by the global crisis can be left aside, as for marketing strategies, such ‘’pirate’’ resources: · provide an opportunity to build moderate total project costs · save on advertising, but do not limit yourself in their use · as much as possible and as soon as possible can reach your target group and collect leads · despite of discrimination to the dissemination of information about the crypto and blockchain project, to have workarounds to gather your audience · not depend constantly on the changing policies of official expensive advertiser's platforms and their instructions That is precisely what projects need in order to be successful during the limitation and expensive media. If you are interested in the opportunities described above or you can offer services that will help crypto projects gather more audiences - feel free to write me: [[email protected]](mailto:[email protected]) or in telegram - u/golubev_serge Sergey Golubev (СергейГолубев) EU structural funds, ICO/STO/IEO projects, NGO & investment projects, project management, comprehensive support for business
The proven oil reserves in Venezuela are recognized as the LARGEST in the world, totaling 297 billion barrels. While ignoring (and even supporting) the atrocities of authoritarian regimes in places like Saudi Arabia, Bahrain and Uzbekistan, US oligarchs have targeted Venezuela for “regime-change” in the name of “democracy”. Currently, the US is engaging in economic warfare against Venezuela to foment a coup and remove its democratically elected president Nicolás Maduro. Without providing solid evidence, our corporate-controlled government and mainstream media portray Maduro as a corrupt, repressive, and illegitimate leader with little to no support.
Ask yourself:
Do I ever see officials from the Venezuelan government appear in corporate news shows to tell THEIR side of the story? What people DO get to comment on Venezuela and what are their credentials and agenda? Are these people essentially public relations agents for the US-orchestrated coup? Does corporate news provide me with historical background of US imperialism in Venezuela to put these current events in context?
Why is the US Corporatocracy so Keen to Remove Maduro?
While Venezuela’s economy is not a strictly-state-run economy, its oil industry is nationalized and uses its revenues for the benefit of its citizens (especially the poor). After years of crippling US sanctions Maduro stepped over a crucial line in October when his government announced that Venezuela was abandoning the US dollar and would be make all future transactions on the Venezuelan exchange market in euro. Saddam Hussein also went off the dollar in favor of the euro in 2003 – we started dropping bombs on him the next month. A similar decision by the Gadhafi government in Libya (2011) was quickly followed by a devastating US-orchestrated conflict - culminating in Gadhafi's capture by radical Islamists who sodomized him with a bayonet before killing him. Since then, Libya has gone from Africa's wealthiest country to a truly failed-state complete with a slave trade! To make matters worse, after the collapse of the Libyan government, its military arms were smuggled out of that country and into the hands of ISIS fighters in Iraq and Syria - enabling US-orchestrated chaos in those countries.
Who cares what currency a country uses to trade petroleum?
Answer: US oligarchy
The US dollar is central to US world economic domination. Like all other modern currencies, it is a fiat currency – backed by no real assets to prop up its value. In lieu of a “gold standard” we know operate on a de-facto “oil-standard”: "After the collapse of the Bretton Woods gold standard in the early 1970s, the United States struck a deal with Saudi Arabia to standardize oil prices in dollar terms. Through this deal, the petrodollar system was born, along with a paradigm shift away from pegged exchanged rates and gold-backed currencies to non-backed, floating rate regimes. The petrodollar system elevated the U.S. dollar to the world's reserve currency and, through this status, the United States enjoys persistent trade deficits and is a global economic hegemony." Investopedia “The central banking Ponzi scheme requires an ever-increasing base of demand and the immediate silencing of those who would threaten its existence. Perhaps that is what the hurry [was] in removing Gaddafi in particular and those who might have been sympathetic to his monetary idea.” Anthony Wile
US Foreign Policy is about Oligarchy Not Democracy
Since World War II, the US has attempted to over-throw the 52 foreign governments. Aside from a handful of exceptions (China, Cuba, Vietnam, etc.), the US has been successful in the vast majority of these attempts. US foreign policy is not about democracy – it is about exploiting the world’s resources in the interests of a small, ultra-wealthy global elite. This exploitation benefits a small percentage of people at the top of the economic pyramid while the costs are born by those at the bottom.
US CIA Coup Playbook:
How to Plunder Resources from Foreign Countries While Pretending to Support Democracy
Find a country with resources you want.
Send in an “Economic Hitman” to offer bribes the country’s leader in the form of personally lucrative business deals. If he accepts the deal, the leader will amass a personal fortune in exchange for "privatizing” the resources you wish to extract.
If the leader will not accept your bribes, begin the regime-change process. 3) Engage in economic warfare by imposing crippling sanctions on the country and blame the ensuing shortages on the leader’s “socialist” policies. 4) Work with right-wing allies inside country to fund and organize an “astroturf” opposition group behind a corporate-friendly puppet. 5) Hire thugs inside country to incite unrest and violence against the government in coordination with your opposition group. Use corporate media to publicize the orchestrated outbursts as popular outrage and paint a picture of a “failed state” mired in corruption and chaos. 6) When the government arrests your thugs, decry the response as the brutal repression. Use corporate-owned media to demonize the target government as a despotic regime while praising your puppet opposition as champions of democracy. 7) Work with right-wing military leaders to organize the overthrow the government (offer them the same business deals the current leader refused). 8) If a military-led coup cannot be organized, create a mercenary army to carry out acts of terrorism against the government and its supporters. Portray the mercenaries as “freedom fighters” and their acts of terrorism as a “civil war”. 9) If the target government has popular and military support and is too well-defended for your mercenaries to over-throw: label the country a “rouge state” and wait for the right time to invade. Meanwhile, continue to wear the country’s government and populace down using steps 3 – 8. 10) Escalate the terror campaign within the country to provoke a military response from the country against the US. If they won’t take the bait , fabricate an attack or threat that you can sell to the US population as justification for an invasion. 11) Once the government is removed, set up your puppet regime to provide the illusion of sovereignty. The regime will facilitate and legitimize your appropriation of the country’s resources under the guise of "free" trade. 12) As you continue to extract the country’s resources, provide intelligence and military support to the puppet regime to suppress popular dissent within the country. 13) Use the demise of the former government as yet another example of the impracticality of “socialism.” What Can I Do? Call your senators and representatives to voice your opposition to US regime-change efforts in Venezuela. https://www.commoncause.org/find-your-representative/ Please share this message with others. Sources included at: https://link.medium.com/8DiA5xzx4T
ALAN MACLEOD FEBRUARY 8, 2019 A recent Gallup poll (8/13/18) found that a majority of millennials view socialism favorably, preferring it to capitalism. Democratic socialist Bernie Sanders is the most popular politician in the United States, while new leftist Rep. Alexandria Ocasio-Cortez’s (AOC) policies of higher taxes on the wealthy, free healthcare and public college tuition are highly popular—even among Republican voters (FAIR.org,1/23/19). Alarmed by the growing threat of progressive policies at home, the establishment has found a one-word weapon to deploy against the rising tide: Venezuela. The trick is to attack any political figure or movement even remotely on the left by claiming they wish to turn the country into a “socialist wasteland” (Fox News, 2/2/19) run by a corrupt dictatorship, leaving its people hungry and devastated. Leading the charge have been Fox News and other conservative outlets. One Fox opinion piece (1/25/19) claimed that Americans should be “absolutely disgusted” by the “fraud” of Bernie Sanders and Democrats like Alexandria Ocasio-Cortez, Elizabeth Warren and Cory Booker, as they “continue to promote a system that is causing mass starvation and the collapse of a country,” warning that is exactly what their failed socialist policies would bring to the US. (Back in the real world, while Sanders and Ocasio-Cortez identify as socialists, Warren is a self-described capitalist, and Booker is noted for his ties to Wall Street, whose support for his presidential bid he has reportedly been soliciting.) A second Fox Newsarticle (1/27/19) continues in the same vein, warning that, “At the heart of Venezuela’s collapse is a laundry list of socialist policies that have decimated its economy.” TheWall Street Journal(1/28/19) describes calls for negotiations in Venezuela as “siding with the dictator.” In an article entitled “Bernie Sanders, Jeremy Corbyn and the Starving Children of Venezuela,” the Washington Examiner (6/15/17) warned its readers to “beware the socialist utopia,” describing it as a dystopia where children go hungry thanks to socialism. The Wall Street Journal (1/28/19) recently condemned Sanders for his support of a “dictator,” despite the fact Bernie has strongly criticized Venezuelan President Nicolás Maduro, and dismissed Maduro’s predecessor, Hugo Chavez, as a “dead Communist dictator” (Reuters, 6/1/16). More supposedly centrist publications have continued this line of attack. The New York Times’ Bret Stephens (1/25/19) argued: “Venezuela is a socialist catastrophe. In the age of AOC, the lesson must be learned again”—namely, that “socialism never works,” as “20 years of socialism” has led to “the ruin of a nation.” The Miami Herald(2/1/19) cast shame on Sanders and AOC for arguing for socialism in the face of such overwhelming evidence against it, describing the left’s refusal to back self-appointed president Juan Guaidó, someone whomless than 20 percentof Venezuelans had even heard of, let alone voted for, as “morally repugnant.” This useful weapon to be used against the left can only be sustained by withholding a great number of key facts—chief among them, the US role in Venezuela’s devastation. US sanctions, according to the Venezuelan opposition’s economics czar, are responsible for a halving of the country’s oil output (FAIR.org, 12/17/18). The UN Human Rights Council has formally condemned the US and discussed reparations to be paid, with one UN special rapporteur describing Trump’s sanctions as a possible “crime against humanity” (London Independent, 1/26/19). This has not been reported by any the New York Times, Washington Post, CNN or any other national US “resistance” news outlet, which have been only too quick to support Trump’s regime change plans (FAIR.org, 1/25/19). Likewise, the local US-backed opposition’s role in the economic crisis is barely mentioned. The opposition, which controls much of the country’s food supply, has officially accepted responsibility for conducting an “economic war” by withholding food and other key goods. For example, the monolithic Empresas Polar controls the majority of the flour production and distribution crucial for making arepa cornbread, Venezuela’s staple food. Polar’s chair is Leopoldo Lopez, national coordinator of Juan Guaidó’s Popular Will party, while its president is Lorenzo Mendoza, who considered running for president against Maduro in the 2018 elections that caused pandemonium in the media (FAIR.org, 5/23/18). Conspicuously, it’s the products that Polar has a near-monopoly in that are often in shortest supply. This is hardly a secret, but never mentioned in the copious stories (CNN, 5/14/14, Bloomberg, 3/16/17, Washington Post, 5/22/17, NPR, 4/7/17) focusing on bread lines in the country. Also rarely commented on was the fact that multiple international election observer missions declared the 2018 elections free and fair, and that Venezuelan government spending as a proportion of GDP (often considered a barometer of socialism) is actually lower than the US’s, and far lower than most of Europe’s, according to the conservative Heritage Foundation. The LondonDaily Express(2/3/19) demonstrates that redbaiting works equally well on either side of the Atlantic. Regardless of these bothersome facts, the media has continued to present Venezuela’s supposedly socialist dictatorship as solely responsible for its crisis as a warning to any progressives who get the wrong idea. So useful is this tool that it is being used to attack progressive movements around the world. The Daily Express (2/3/19) and Daily Mail (2/3/19) condemned UK Labour Party leader Jeremy Corbyn for his “defense” of a “dictator,” while the Daily Telegraph(2/3/19) warned that the catastrophe of Venezuela is Labour’s blueprint for Britain. Meanwhile, the Greek leftist party Syriza’s support for Maduro (the official position of three-quarters of UN member states) was condemned as “shameful” (London Independent, 1/29/19). “Venezuela” is also used as a one-word response to shut down debate and counter any progressive idea or thought. While the panel on ABC’s The View (7/23/18) discussed progressive legislation like Medicare for All and immigration reform, conservative regular Meghan McCain responding by invoking Venezuela: “They’re starving to death” she explained, leaving the other panelists bemused. President Trump has also used it. In response to criticism from Senator Elizabeth Warren over his “Pocahontas” jibe, he replied that she would “make our country into Venezuela” (Reuters, 10/15/18). The weapon’s effectiveness can only be sustained through a media in lockstep with the government’s regime-change goals. That the media is fixated on the travails of a relatively small and unimportant country in America’s “backyard,” and that the picture of Venezuela is so shallow, is not a mistake. Rather, the simplistic narrative of a socialist dictatorship starving its own people provides great utility as a weapon for the establishment to beat back the domestic “threat” of socialism, by associating movements and figures such as Bernie Sanders, Alexandria Ocasio-Cortez and Jeremy Corbyn with an evil caricature they have carefully crafted.
Corporate Propaganda Blitz Against Venezuela’s Elected President: MSM Will Not Let Facts Interfere With Coup Agenda
Facts Don’t Interfere With Propaganda Blitz Against Venezuela’s Elected PresidentJoe Emersberger Guaidó, anointed by Trump and a new Iraq-style Coalition of the Willing, did not even run in Venezuela’s May 2018 presidential election. In fact, shortly before the election, Guaidó was not even mentioned by the opposition-aligned pollster Datanálisis when it published approval ratings of various prominent opposition leaders. Henri Falcón, who actually did run in the election (defying US threats against him) was claimed by the pollster to basically be in a statistical tie for most popular among them. It is remarkable to see the Western media dismiss this election as “fraudulent,” without even attempting to show that it was “stolen“ from Falcón. Perhaps that’s because it so clearly wasn’t stolen. Graph: Approval Ratings of Main Venezuelan Leaders Nov 2016 - July 2018 Data from the opposition-aligned pollsters in Venezuela (via Torino Capital) indicates that Henri Falcón was the most popular of the major opposition figures at the time of the May 2018 presidential election. Nicolás Maduro won the election due to widespread opposition boycotting and votes drawn by another opposition candidate, Javier Bertucci. The constitutional argument that Trump and his accomplices have used to “recognize” Guaidó rests on the preposterous claim that Maduro has “abandoned” the presidency by soundly beating Falcón in the election. Caracas-based journalist Lucas Koerner took apart that argument in more detail. What about the McClatchy-owned Miami Herald's claim that Maduro “continues to reject international aid”? In November 2018, following a public appeal by Maduro, the UN did authorize emergency aid for Venezuela. It was even reported by Reuters (11/26/18), whose headlines have often broadcast the news agency’s contempt for Maduro’s government. It’s not unusual for Western media to ignore facts they have themselves reported when a major “propaganda blitz” by Washington is underway against a government. For example, it was generally reported accurately in 1998 that UN weapons inspectors were withdrawn from Iraq ahead of air strikes ordered by Bill Clinton, not expelled by Iraq’s government. But by 2002, it became a staple of pro-war propaganda that Iraq had expelled weapons inspectors (Extra! Update, 10/02). And, incidentally, when a Venezuelan NGO requested aid from the UN-linked Global Fund in 2017, it was turned down. Setting aside how effective foreign aid is at all (the example of Haiti hardly makes a great case for it), it is supposed to be distributed based on relative need, not based on how badly the US government wants somebody overthrown. But the potential for “aid” to alleviate Venezuela’s crisis is negligible compared to the destructive impact of US economic sanctions. Near the end of the Miami Herald article, author Jim Wyss cited an estimate from the thoroughly demonized Venezuelan government that US sanctions have cost it $30 billion, with no time period specified for that estimate. Again, this calls to mind the run-up to the Iraq invasion, when completely factual statements that Iraq had no WMDs were attributed to the discredited Iraqi government. Quoting Iraqi denials supposedly balanced the lies spread in the media by US officials like John Bolton, who now leads the charge to overthrow Maduro. Wyss could have cited economists independent of the Maduro government on the impact of US sanctions—like US economist Mark Weisbrot, or the emphatically anti-Maduro Venezuelan economist Francisco Rodríguez. Illegal US sanctions were first imposed in 2015 under a fraudulent “state of emergency” declared by Obama, and subsequently extended by Trump. The revenue lost to Venezuela’s government due to US economic sanctions since August 2017, when the impact became very easy to quantify, is by nowwell over $6 billion. That’s enormous in an economy that was only able to import about $11 billion of goods in 2018, and needs about $2 billion per year in medicines. Trump’s “recognition” of Guaidó as “interim president” was the pretext for making the already devastating sanctions much worse. Last month, Francisco Rodríguez revised his projection for the change in Venezuela’s real GDP in 2019, from an 11 percent contraction to 26 percent, after the intensified sanctions were announced. The $20 million in US “aid” that Wyss is outraged Maduro won’t let in is a rounding error compared to the billions already lost from Trump’s sanctions. Former US Ambassador to Venezuela William Brownfield, who pressed for more sanctions on Venezuela, dispensed with the standard “humanitarian” cover that US officials have offered for them (Intercept, 2/10/19):
And if we can do something that will bring that end quicker, we probably should do it, but we should do it understanding that it’s going to have an impact on millions and millions of people who are already having great difficulty finding enough to eat, getting themselves cured when they get sick, or finding clothes to put on their children before they go off to school. We don’t get to do this and pretend as though it has no impact there. We have to make the hard decision—the desired outcome justifies this fairly severe punishment.
Perhaps, why not! However, what stops crypto from bullish growing? To my mind, the main reasons are not the volatility and lack of clear legal regulation, but the lack of new users (new blood), which creates a ‘’narrow’’ market. Why is this not a PR message? A message that can potentially attract the attention of brand new users who cannot take into account other investment tools (because of their complexity or high entry point or just because of the restrictions of policies of accredited investors). If you invested in bitcoin (or in another functional cryptocurrency) exactly a year ago, then even now despite the market drop caused by the new “black swan” - a recession against the background of coronavirus, you would get more than 35% growth. Why do we see that the audience of followers is not updated? Why all the projects are fighting for the same fans who entered the crypto before 2018 and continuing to place media uselessly on the same sites? As we all remember, until 2018, each project had access to 2 billion audience through a whole set of tools from advertising on social networks to context advertising. We used LinkedIn, reddit, twitter and of course, the 2 main tools for attracting traffic (google and Facebook). Each crypto project, using these marketing instruments, brought its advertising messages to a new audience, not only carrying out the KPI of the project, but also fueling up interest in the blockchain as a whole industry; thereby increasing the demand for crypto and its liquidity. Like any new financial instrument, crypto is faced with the resistance of the old financial system: · misinformation on TV and the mass media (crypto is a lie, crypto is a drug and terrorism) · pressure from regulators (SEC refused, limited, punished) · And, of course, a decision that has the most “destructive” effect - a ban on the largest advertising platforms in the world. Unfortunately, the sweet times before the “ban” can no longer come back. Since January 2018, advertising of blockchain and cryptocurrency projects on most of the platforms in the world and social networks has been prohibited. The first to limit the right to advertise were Google AdWords and DoubleClick, introducing a direct ban on advertising content in terms of cryptocurrencies and related materials. A similar situation with context advertising is in Yandex Direct. Social networks also show unfair attitude to the crypto industry. Nonetheless, the crypto industry is approaching a line that it becomes simply impossible to ignore. After all, no matter how the new model is revolutionary and capable of making the world a better place — it is doomed to die if no one knows about it. Of course, if you have a good marketing agency, and you are a large and successful venture blockchain project (from the top of best and most famous), with all the necessary licenses, you can still compete for banning in fb and google. Moreover, although it takes a long time, I know several projects that now have permission for official advertising. Despite the fact that the largest platforms have banned startup blockchain advertising, there are still ways to promote it. What should everyone else do? What to do for a new comer that is just entering the market. Or for an old project that failed to get into the top of the most recognizable? ‘’Use your existing inventory’’ - it seems like the most important piece of advice that almost every project follows. Now we see how hundreds of projects are simultaneously placing on the same platforms (crypto news, ICO listings, bloggers), squeezing the last attention and investments from the same target groups. What are the results? They are obvious. Fundraising is falling, the number of new users and investors is not increasing, and liquidity is falling. In addition, for these reasons, in the last year, crypto has finally turned out from an instrument that would destroy the hegemony of big money, into an instrument - not very studied and too volatile. What to do in order to revive the interest to crypto? Right now, to start to search and apply new traffic tools. Sources that can give huge coverage and this will help attract new users to your project, for whom you can become the first successful investment in the blockchain. What to study from? What and how to apply? The easiest way, as always, is to learn the experience of those who live in the world of advertising restrictions for a very long period. For example - casinos, forex, bookmakers, unlicensed video etc. We analyzed the largest representatives of these advertisers and chose the most effective method of placement, which appeared in the top of all advertisers – pirate sites with unlicensed content. It is also not a secret that many well-known offline and online retailers and not only are not ashamed of advertising on such sites along with advertising of the above-discriminated businesses. In addition, the crypto industry can be considered so far as discriminated in its rights. What makes pirate sites so attractive? The main sense of advertising on resources with unlicensed content is the incredibly large coverage of the audience at relatively low prices. The largest resources provide 10 million unique visitors every month. The cost differs depending on the format – pre roll, branding, banner, and order of display. Price - from $ 10 for 1 thousand unique views. It is also worth considering the possibility of paying with crypto and a simple workflow, which allows you to make placements for very young and unknown companies. Technically, such platforms can track all interested users, so that later they can activate their attention in other campaigns to optimize marketing and advertising costs, which will allow the advertiser to save the customer’s budget in such a financially turbulent time, while generating even more leads. Indeed, traditional media today are still too expensive and do not have such technical capabilities of their platforms. The millionth audience of pirate resources is explained by the fact that the user loves unlicensed content, and such a user has other interests and hobbies, including the crypto, blockchain, venture projects and much more, which is so discriminated in advertising by official media and social networks. The ethical issue in the modern world of capitalist chaos caused by the global crisis can be left aside, as for marketing strategies, such ‘’pirate’’ resources: · provide an opportunity to build moderate total project costs · save on advertising, but do not limit yourself in their use · as much as possible and as soon as possible can reach your target group and collect leads · despite of discrimination to the dissemination of information about the crypto and blockchain project, to have workarounds to gather your audience · not depend constantly on the changing policies of official expensive advertiser's platforms and their instructions That is precisely what projects need in order to be successful during the limitation and expensive media. If you are interested in the opportunities described above or you can offer services that will help crypto projects gather more audiences - feel free to write me: [[email protected]](mailto:[email protected]) or in telegram - u/golubev_serge Sergey Golubev (СергейГолубев) EU structural funds, ICO/STO/IEO projects, NGO & investment projects, project management, comprehensive support for business
How to get started in Forex - A comprehensive guide for newbies
Almost every day people come to this subreddit asking the same basic questions over and over again. I've put this guide together to point you in the right direction and help you get started on your forex journey. A quick background on me before you ask: My name is Bob, I'm based out of western Canada. I started my forex journey back in January 2018 and am still learning. However I am trading live, not on demo accounts. I also code my own EA's. I not certified, licensed, insured, or even remotely qualified as a professional in the finance industry. Nothing I say constitutes financial advice. Take what I'm saying with a grain of salt, but everything I've outlined below is a synopsis of some tough lessons I've learned over the last year of being in this business. LET'S GET SOME UNPLEASANTNESS OUT OF THE WAY I'm going to call you stupid. I'm also going to call you dumb. I'm going to call you many other things. I do this because odds are, you are stupid, foolish,and just asking to have your money taken away. Welcome to the 95% of retail traders. Perhaps uneducated or uninformed are better phrases, but I've never been a big proponent of being politically correct. Want to get out of the 95% and join the 5% of us who actually make money doing this? Put your grown up pants on, buck up, and don't give me any of this pc "This is hurting my feelings so I'm not going to listen to you" bullshit that the world has been moving towards. Let's rip the bandage off quickly on this point - the world does not give a fuck about you. At one point maybe it did, it was this amazing vision nicknamed the American Dream. It died an agonizing, horrible death at the hand of capitalists and entrepreneurs. The world today revolves around money. Your money, my money, everybody's money. People want to take your money to add it to theirs. They don't give a fuck if it forces you out on the street and your family has to live in cardboard box. The world just stopped caring in general. It sucks, but it's the way the world works now. Welcome to the new world order. It's called Capitalism. And here comes the next hard truth that you will need to accept - Forex is a cruel bitch of a mistress. She will hurt you. She will torment you. She will give you nightmares. She will keep you awake at night. And then she will tease you with a glimmer of hope to lure you into a false sense of security before she then guts you like a fish and shows you what your insides look like. This statement applies to all trading markets - they are cruel, ruthless, and not for the weak minded. The sooner you accept these truths, the sooner you will become profitable. Don't accept it? That's fine. Don't bother reading any further. If I've offended you I don't give a fuck. You can run back home and hide under your bed. The world doesn't care and neither do I. For what it's worth - I am not normally an major condescending asshole like the above paragraphs would suggest. In fact, if you look through my posts on this subreddit you will see I am actually quite helpful most of the time to many people who come here. But I need you to really understand that Forex is not for most people. It will make you cry. And if the markets themselves don't do it, the people in the markets will. LESSON 1 - LEARN THE BASICS Save yourself and everybody here a bunch of time - learn the basics of forex. You can learn the basics for free - BabyPips has one of the best free courses online which explains what exactly forex is, how it works, different strategies and methods of how to approach trading, and many other amazing topics. You can access the BabyPips course by clicking this link: https://www.babypips.com/learn/forex Do EVERY course in the School of Pipsology. It's free, it's comprehensive, and it will save you from a lot of trouble. It also has the added benefit of preventing you from looking foolish and uneducated when you come here asking for help if you already know this stuff. If you still have questions about how forex works, please see the FREE RESOURCES links on the /Forex FAQ which can be found here: https://www.reddit.com/Forex/wiki/index Quiz Time Answer these questions truthfully to yourself: -What is the difference between a market order, a stop order, and a limit order? -How do you draw a support/resistance line? (Demonstrate it to yourself) -What is the difference between MACD, RSI, and Stochastic indicators? -What is fundamental analysis and how does it differ from technical analysis and price action trading? -True or False: It's better to have a broker who gives you 500:1 margin instead of 50:1 margin. Be able to justify your reasoning. If you don't know to answer to any of these questions, then you aren't ready to move on. Go back to the School of Pipsology linked above and do it all again. If you can answer these questions without having to refer to any kind of reference then congratulations, you are ready to move past being a forex newbie and are ready to dive into the wonderful world of currency trading! Move onto Lesson 2 below. LESSON 2 - RANDOM STRANGERS ARE NOT GOING TO HELP YOU GET RICH IN FOREX This may come as a bit of a shock to you, but that random stranger on instagram who is posting about how he is killing it on forex is not trying to insprire you to greatness. He's also not trying to help you. He's also not trying to teach you how to attain financial freedom. 99.99999% of people posting about wanting to help you become rich in forex are LYING TO YOU. Why would such nice, polite people do such a thing? Because THEY ARE TRYING TO PROFIT FROM YOUR STUPIDITY. Plain and simple. Here's just a few ways these "experts" and "gurus" profit from you:
Referral Links - If they require you to click a specific link to signup for something, it means they are an affiliate. They get a commission from whatever the third party is that they are sending you to. I don't care if it's a brokerage, training program, hell even an Amazon link to a book - if they insist you have to click their super exclusive, can't-get-this-deal-any-other-way-but-clicking-my-link type bullshit, it's an affiliate link. There is nothing inherently wrong with affiliate programs, but you are literally generating money for some stranger because they convinced you to buy something. Some brokers such as ICMarkets have affiliate programs that payout a percentage of the commission you generate - this is a really clever system - whether you profit or blow your entire account, the person who referred you to the broker makes a profit off you. Clever eh?
Signal Services, Education & Training Programs, Courses - If somebody is telling you they are making a killing with a signal service and are trying to convince you to join it, I guarantee they are getting a piece of your monthly fee. And better still, these signal services often work...for about a week. Just long enough to suck a bunch of poor fools into it. You see people making money, you want in so you agree to pay the $200+/month subscription fee. You follow the signals and it looks like it's making money for a few days or weeks. Then it turns sideways, you start losing money hand over fist. Pretty soon you have lost most of your trading account because you blindly followed a signal service. And better still - when you go screaming at the person running the signal service they will be very quick to point you to their No Refunds policy. To add insult to injury, the buttfucker that referred you to the signal service in the past will likely listen to you getting mad, and then come back with something like "Sorry it didn't work out, but I just joined this other amazing service and it's working great, you should come join it to earn your money back. Here's my link..." You get the point here right?
Multi-Level Marketing (MLMs) - These people are scum. They are going to offer you training and education, signals, access to forex experts and gurus, and all kinds of other shit with the promise that you will live the dream and become financially free. They are also loading you into a pyrmaid scheme where you will be hounded to recruit other people and make money off them just like you got roped into it. A really prime example here is iMarkets Live (or IML for short). Don't touch this shit with a 10 foot pole. I don't care what they are claiming, you will lose everything using them.
Fund Managers - These people make my skin crawl. It's a classic scam and it works like this - somebody will post online about how much money they are making trading forex/commodities/stocks/whatever. Most of the time they won't explicitly post they are offering a trading service, rather they just put the message out there and wait for the ignorant masses (that's you) to contact them. They will charm you. They will lie to you. They will promise you the moon if you simply wire them some money or give them API access to your trading account. Care to guess what happens next? If you send a wire transfer (or Western Union...hell any kind of payment to them) they will vanish. Happens usually after they take a bunch of suckers for the ride. You sent them $2,000 and so do 9 other suckers. They just made $20,000 and are gone. With API access to your account, you will find your account gets blown super fast or worse - possibly leaving you open to persecution by the broker you are using.
These are just a few examples. The reality is that very few people make it big in forex or any kind of trading. If somebody is trying to sell you the dream, they are essentially a magician - making you look the other way while they snatch your wallet and clean you out. Additionally, on the topic of fund managers - legitimate fund managers will be certified, licensed, and insured. Ask them for proof of those 3 things. What they typically look like are:
Certified - This varies from country to country, in the US it's FINRA (http://www.finra.org). They need to have their Series 7 certification minimum. You can make the case that other FINRA certifications are acceptable in lieu of Series 7, but the 7 is the gold standard.
Licensed - They need to have a valid business license issued by the government. It must clearly state they are an investment company, preferrably a hedge fund because they have some super strict requirements to operate (and often require $25,000+ in fees just to get their business license, so you know they at least have some skin in the game).
Insured - They need to be backed by an insurance company. I'm not talking general insurance for shit like their office burning down. I'm talking about a government-implemented protection insurance program - in the US I believe that is issued by the Securities Investment Protection Corporation (https://www.sipc.org/).
If you are talking to a fund manager and they are insisting they have all of these, get a copy of their verification documents and lookup their licenses on the directories of the issuers to verify they are valid. If they are, then at least you are talking to somebody who seems to have their shit together and is doing investment management and trading as a professional and you are at least partially protected when the shit hits the fan. LESSON 3 - UNDERSTAND YOUR RISK Many people jump into Forex, drop $2000 into a broker account and start trading 1 lot orders because they signed up with a broker thinking they will get rich because they were given 500:1 margin and can risk it all on each trade. Worst-case scenario you lose your account, best case scenario you become a millionaire very quickly. Seems like a pretty good gamble right? You are dead wrong. As a new trader, you should never risk more than 1% of your account balance on a trade. If you have some experience and are confident and doing well, then it's perfectly natural to risk 2-3% of your account per trade. Anybody who risks more than 4-5% of their account on a single trade deserves to blow their account. At that point you aren't trading, you are gambling. Don't pretend you are a trader when really you are just putting everything on red and hoping the roulette ball lands in the right spot. It's stupid and reckless and going to screw you very quickly. Let's do some math here: You put $2,000 into your trading account. Risking 1% means you are willing to lose $20 per trade. That means you are going to be trading micro lots, or 0.01 lots most likely ($0.10/pip). At that level you can have a trade stop loss at -200 pips and only lose $20. It's the best starting point for anybody. Additionally, if you SL 20 trades in a row you are only down $200 (or 10% of your account) which isn't that difficult to recover from. Risking 3% means you are willing to lose $60 per trade. You could do mini lots at this point, which is 0.1 lots (or $1/pip). Let's say you SL on 20 trades in a row. You've just lost $1,200 or 60% of your account. Even veteran traders will go through periods of repeat SL'ing, you are not a special snowflake and are not immune to periods of major drawdown. Risking 5% means you are willing to lose $100 per trade. SL 20 trades in a row, your account is blown. As Red Foreman would call it - Good job dumbass. Never risk more than 1% of your account on any trade until you can show that you are either consistently breaking even or making a profit. By consistently, I mean 200 trades minimum. You do 200 trades over a period of time and either break-even or make a profit, then you should be alright to increase your risk. Unfortunately, this is where many retail traders get greedy and blow it. They will do 10 trades and hit their profit target on 9 of them. They will start seeing huge piles of money in their future and get greedy. They will start taking more risk on their trades than their account can handle. 200 trades of break-even or profitable performance risking 1% per trade. Don't even think about increasing your risk tolerance until you do it. When you get to this point, increase you risk to 2%. Do 1,000 trades at this level and show break-even or profit. If you blow your account, go back down to 1% until you can figure out what the hell you did differently or wrong, fix your strategy, and try again. Once you clear 1,000 trades at 2%, it's really up to you if you want to increase your risk. I don't recommend it. Even 2% is bordering on gambling to be honest. LESSON 4 - THE 500 PIP DRAWDOWN RULE This is a rule I created for myself and it's a great way to help protect your account from blowing. Sometimes the market goes insane. Like really insane. Insane to the point that your broker can't keep up and they can't hold your orders to the SL and TP levels you specified. They will try, but during a flash crash like we had at the start of January 2019 the rules can sometimes go flying out the window on account of the trading servers being unable to keep up with all the shit that's hitting the fan. Because of this I live by a rule I call the 500 Pip Drawdown Rule and it's really quite simple - Have enough funds in your account to cover a 500 pip drawdown on your largest open trade. I don't care if you set a SL of -50 pips. During a flash crash that shit sometimes just breaks. So let's use an example - you open a 0.1 lot short order on USDCAD and set the SL to 50 pips (so you'd only lose $50 if you hit stoploss). An hour later Trump makes some absurd announcement which causes a massive fundamental event on the market. A flash crash happens and over the course of the next few minutes USDCAD spikes up 500 pips, your broker is struggling to keep shit under control and your order slips through the cracks. By the time your broker is able to clear the backlog of orders and activity, your order closes out at 500 pips in the red. You just lost $500 when you intended initially to only risk $50. It gets kinda scary if you are dealing with whole lot orders. A single order with a 500 pip drawdown is $5,000 gone in an instant. That will decimate many trader accounts. Remember my statements above about Forex being a cruel bitch of a mistress? I wasn't kidding. Granted - the above scenario is very rare to actually happen. But glitches to happen from time to time. Broker servers go offline. Weird shit happens which sets off a fundamental shift. Lots of stuff can break your account very quickly if you aren't using proper risk management. LESSON 5 - UNDERSTAND DIFFERENT TRADING METHODOLOGIES Generally speaking, there are 3 trading methodologies that traders employ. It's important to figure out what method you intend to use before asking for help. Each has their pros and cons, and you can combine them in a somewhat hybrid methodology but that introduces challenges as well. In a nutshell:
Price Action Trading (Sometimes called Naked Trading) is very effective at identifying when trends will start and finish. This gives you the advantage of staying ahead of the market and predicting when a change in trend direction will occur. It has the disadvantage of being really easy to screw it up if you don't plot your support and resistance lines properly and interpret the chart wrong. Because you can identify a change in trend direction, you'll generally make more profit on a new trend than a technical strategy will.
Technical Analytics (or TA) uses math and statistics to try and identify where the market is headed or confirm/reject whether a trend is happening. It has the advantage of being very math and stat driven which is hard to refute the numbers, but it has the disadvantage of being late to the party when it comes to identifying trends (hence why people call TA a lagging strategy). When people fail using TA, it's not because of the math - it's because you misinterpreted what the math is telling you.
Fundamental Analysis (or FA) uses news and macro scale events to predict what is going on. A really good example right now is Brexit, what a clusterfuck that is. Every time some major brexit news breaks it causes all sorts of choas in almost every currency pair. Fundamental trading has the highest potential profitability per trade but it also has the highest potential drawdown per trade.
Now you may be thinking that you want to be a a price action trader - you should still learn the principles and concepts behind TA and FA. Same if you are planning to be a technical trader - you should learn about price action and fundamental analysis. More knowledge is better, always. With regards to technical analysis, you need to really understand what the different indicators are tell you. It's very easy to misinterpret what an indicator is telling you, which causes you to make a bad trade and lose money. It's also important to understand that every indicator can be tuned to your personal preferences. You might find, for example, that using Bollinger Bands with the normal 20 period SMA close, 2 standard deviation is not effective for how you look at the chart, but changing that to say a 20 period EMA average price, 1 standard deviation bollinger band indicator could give you significantly more insight. LESSON 6 - TIMEFRAMES MATTER Understanding the differences in which timeframes you trade on will make or break your chosen strategy. Some strategies work really well on Daily timeframes (i.e. Ichimoku) but they fall flat on their face if you use them on 1H timeframes, for example. There is no right or wrong answer on what timeframe is best to trade on. Generally speaking however, there are 2 things to consider:
Speed - If you are scalping (trading on the really fast candles like 1M, 5M, 15M, etc) odds are your trades are very short lived. Maybe 10 minutes to an hour tops. For the most part, scalping strategies will produce little profit per trade but make up for it in the sheer volume of trades. Whereas swing trading may only make a few trades but each one could be worth a significant amount of money.
Spread (the fee you pay to the broker when you trade) - If you are a scalper, the spread is your worst enemy because you have to overcome it very fast to make a profit on your order. Whereas swing trading the spread hardly impacts you at all.
If you are a total newbie to forex, I suggest you don't trade on anything shorter than the 1H timeframe when you are first learning. Trading on higher timeframes tends to be much more forgiving and profitable per trade. Scalping is a delicate art and requires finesse and can be very challenging when you are first starting out. LESSON 7 - AUTOBOTS...ROLL OUT! Yeah...I'm a geek and grew up with the Transformers franchise decades before Michael Bay came along. Deal with it. Forex bots are called EA's (Expert Advisors). They can be wonderous and devastating at the same time. /Forex is not really the best place to get help with them. That is what /algotrading is useful for. However some of us that lurk on /Forex code EA's and will try to assist when we can. Anybody can learn to code an EA. But just like how 95% of retail traders fail, I would estimate the same is true for forex bots. Either the strategy doesn't work, the code is buggy, or many other reasons can cause EA's to fail. Because EA's can often times run up hundreds of orders in a very quick period of time, it's critical that you test them repeatedly before letting them lose on a live trading account so they don't blow your account to pieces. You have been warned. If you want to learn how to code an EA, I suggest you start with MQL. It's a programming language which can be directly interpretted by Meta Trader. The Meta Trader terminal client even gives you a built in IDE for coding EA's in MQL. The downside is it can be buggy and glitchy and caused many frustrating hours of work to figure out what is wrong. If you don't want to learn MQL, you can code an EA up in just about any programming language. Python is really popular for forex bots for some reason. But that doesn't mean you couldn't do it in something like C++ or Java or hell even something more unusual like JQuery if you really wanted. I'm not going to get into the finer details of how to code EA's, there are some amazing guides out there. Just be careful with them. They can be your best friend and at the same time also your worst enemy when it comes to forex. One final note on EA's - don't buy them. Ever. Let me put this into perspective - I create an EA which is literally producing money for me automatically 24/5. If it really is a good EA which is profitable, there is no way in hell I'm selling it. I'm keeping it to myself to make a fortune off of. EA's that are for sale will not work, will blow your account, and the developer who coded it will tell you that's too darn bad but no refunds. Don't ever buy an EA from anybody. LESSON 8 - BRING ON THE HATERS You are going to find that this subreddit is frequented by trolls. Some of them will get really nasty. Some of them will threaten you. Some of them will just make you miserable. It's the price you pay for admission to the /Forex club. If you can't handle it, then I suggest you don't post here. Find a more newbie-friendly site. It sucks, but it's reality. We often refer to trolls on this subreddit as shitcunts. That's your word of the day. Learn it, love it. Shitcunts. YOU MADE IT, WELCOME TO FOREX! If you've made it through all of the above and aren't cringing or getting scared, then welcome aboard the forex train! You will fit in nicely here. Ask your questions and the non-shitcunts of our little corner of reddit will try to help you. Assuming this post doesn't get nuked and I don't get banned for it, I'll add more lessons to this post over time. Lessons I intend to add in the future:
Demo Trading
Why you will blow your first account and what to do when it happens
Trading Psychology (this will be a beefy one and will take a while to put together)
Exotics vs Majors and which you should focus on as a newbie (aka how to blow your account in a single trade with exotics)
Hedging (there isn't really a good guide written on this anywhere)
Doubling Your Risk to Save Your Ass or Lose a Shit Ton (aka Martingale & Anti-Martingale)
Risk On/Off
Forex Calendars
Currency Strength / Heat Maps
Swap
Margin Calls (What are they and why are you getting them?)
If there is something else you feel should be included please drop a comment and I'll add it to the above list of pending topics. Cheers, Bob
If you invested in bitcoin (or in another functional cryptocurrency) exactly a year ago, then even now despite the market drop caused by the new “black swan” - a recession against the background of coronavirus, you would get more than 35% growth. Why do we see that the audience of followers is not updated? Why all the projects are fighting for the same fans who entered the crypto before 2018 and continuing to place media uselessly on the same sites? As we all remember, until 2018, each project had access to 2 billion audience through a whole set of tools from advertising on social networks to context advertising. We used LinkedIn, reddit, twitter and of course, the 2 main tools for attracting traffic (google and Facebook). Each crypto project, using these marketing instruments, brought its advertising messages to a new audience, not only carrying out the KPI of the project, but also fueling up interest in the blockchain as a whole industry; thereby increasing the demand for crypto and its liquidity. Like any new financial instrument, crypto is faced with the resistance of the old financial system: · misinformation on TV and the mass media (crypto is a lie, crypto is a drug and terrorism) · pressure from regulators (SEC refused, limited, punished) · And, of course, a decision that has the most “destructive” effect - a ban on the largest advertising platforms in the world. Unfortunately, the sweet times before the “ban” can no longer come back. Since January 2018, advertising of blockchain and cryptocurrency projects on most of the platforms in the world and social networks has been prohibited. The first to limit the right to advertise were Google AdWords and DoubleClick, introducing a direct ban on advertising content in terms of cryptocurrencies and related materials. A similar situation with context advertising is in Yandex Direct. Social networks also show unfair attitude to the crypto industry. Nonetheless, the crypto industry is approaching a line that it becomes simply impossible to ignore. After all, no matter how the new model is revolutionary and capable of making the world a better place — it is doomed to die if no one knows about it. Of course, if you have a good marketing agency, and you are a large and successful venture blockchain project (from the top of best and most famous), with all the necessary licenses, you can still compete for banning in fb and google. Moreover, although it takes a long time, I know several projects that now have permission for official advertising. Despite the fact that the largest platforms have banned startup blockchain advertising, there are still ways to promote it. What should everyone else do? What to do for a new comer that is just entering the market. Or for an old project that failed to get into the top of the most recognizable? ‘’Use your existing inventory’’ - it seems like the most important piece of advice that almost every project follows. Now we see how hundreds of projects are simultaneously placing on the same platforms (crypto news, ICO listings, bloggers), squeezing the last attention and investments from the same target groups. What are the results? They are obvious. Fundraising is falling, the number of new users and investors is not increasing, and liquidity is falling. In addition, for these reasons, in the last year, crypto has finally turned out from an instrument that would destroy the hegemony of big money, into an instrument - not very studied and too volatile. What to do in order to revive the interest to crypto? Right now, to start to search and apply new traffic tools. Sources that can give huge coverage and this will help attract new users to your project, for whom you can become the first successful investment in the blockchain. What to study from? What and how to apply? The easiest way, as always, is to learn the experience of those who live in the world of advertising restrictions for a very long period. For example - casinos, forex, bookmakers, unlicensed video etc. We analyzed the largest representatives of these advertisers and chose the most effective method of placement, which appeared in the top of all advertisers – pirate sites with unlicensed content. It is also not a secret that many well-known offline and online retailers and not only are not ashamed of advertising on such sites along with advertising of the above-discriminated businesses. In addition, the crypto industry can be considered so far as discriminated in its rights. What makes pirate sites so attractive? The main sense of advertising on resources with unlicensed content is the incredibly large coverage of the audience at relatively low prices. The largest resources provide 10 million unique visitors every month. The cost differs depending on the format – pre roll, branding, banner, and order of display. Price - from $ 10 for 1 thousand unique views. It is also worth considering the possibility of paying with crypto and a simple workflow, which allows you to make placements for very young and unknown companies. Technically, such platforms can track all interested users, so that later they can activate their attention in other campaigns to optimize marketing and advertising costs, which will allow the advertiser to save the customer’s budget in such a financially turbulent time, while generating even more leads. Indeed, traditional media today are still too expensive and do not have such technical capabilities of their platforms. The millionth audience of pirate resources is explained by the fact that the user loves unlicensed content, and such a user has other interests and hobbies, including the crypto, blockchain, venture projects and much more, which is so discriminated in advertising by official media and social networks. The ethical issue in the modern world of capitalist chaos caused by the global crisis can be left aside, as for marketing strategies, such ‘’pirate’’ resources: · provide an opportunity to build moderate total project costs · save on advertising, but do not limit yourself in their use · as much as possible and as soon as possible can reach your target group and collect leads · despite of discrimination to the dissemination of information about the crypto and blockchain project, to have workarounds to gather your audience · not depend constantly on the changing policies of official expensive advertiser's platforms and their instructions That is precisely what projects need in order to be successful during the limitation and expensive media. If you are interested in the opportunities described above or you can offer services that will help crypto projects gather more audiences - feel free to write me: [[email protected]](mailto:[email protected]) or in telegram - u/golubev_serge Sergey Golubev (СергейГолубев) EU structural funds, ICO/STO/IEO projects, NGO & investment projects, project management, comprehensive support for business
Capitalism is an economic system in which private individuals or businesses own capital goods. The production of goods and services is based on supply and demand in the general market—known as a market economy—rather than through central planning—known as a planned economy or command economy. The purest form of capitalism is free market or laissez-faire capitalism. Here, private individuals are unrestrained. They may determine where to invest, what to produce or sell, and at which prices to exchange goods and services. The laissez-faire marketplace operates without checks or controls. Today, most countries practice a mixed capitalist system that includes some degree of government regulation of business and ownership of select industries. Volume 75% 2:05
Capitalism
Understanding Capitalism
Functionally speaking, capitalism is one process by which the problems of economic production and resource distribution might be resolved. Instead of planning economic decisions through centralized political methods, as with socialism or feudalism, economic planning under capitalism occurs via decentralized and voluntary decisions.
KEY TAKEAWAYS
Capitalism is an economic system characterized by private ownership of the means of production, especially in the industrial sector.
Capitalism depends on the enforcement of private property rights, which provide incentives for investment in and productive use of productive capital.
Capitalism developed historically out of previous systems of feudalism and mercantilism in Europe, and dramatically expanded industrialization and the large-scale availability of mass-market consumer goods.
Pure capitalism can be contrasted with pure socialism (where all means of production are collective or state-owned) and mixed economies (which lie on a continuum between pure capitalism and pure socialism).
The real-world practice of capitalism typically involves some degree of so-called “crony capitalism” due to demands from business for favorable government intervention and governments’ incentive to intervene in the economy.
Capitalism and Private Property
Private property rights are fundamental to capitalism. Most modern concepts of private property stem from John Locke's theory of homesteading, in which human beings claim ownership through mixing their labor with unclaimed resources. Once owned, the only legitimate means of transferring property are through voluntary exchange, gifts, inheritance, or re-homesteading of abandoned property. Private property promotes efficiency by giving the owner of resources an incentive to maximize the value of their property. So, the more valuable the resource is, the more trading power it provides the owner. In a capitalist system, the person who owns the property is entitled to any value associated with that property. For individuals or businesses to deploy their capital goods confidently, a system must exist that protects their legal right to own or transfer private property. A capitalist society will rely on the use of contracts, fair dealing, and tort law to facilitate and enforce these private property rights. When a property is not privately owned but shared by the public, a problem known as the tragedy of the commons can emerge. With a common pool resource, which all people can use, and none can limit access to, all individuals have an incentive to extract as much use value as they can and no incentive to conserve or reinvest in the resource. Privatizing the resource is one possible solution to this problem, along with various voluntary or involuntary collective action approaches.
Capitalism, Profits, and Losses
Profits are closely associated with the concept of private property. By definition, an individual only enters into a voluntary exchange of private property when they believe the exchange benefits them in some psychic or material way. In such trades, each party gains extra subjective value, or profit, from the transaction. Voluntary trade is the mechanism that drives activity in a capitalist system. The owners of resources compete with one another over consumers, who in turn, compete with other consumers over goods and services. All of this activity is built into the price system, which balances supply and demand to coordinate the distribution of resources. A capitalist earns the highest profit by using capital goods most efficiently while producing the highest-value good or service. In this system, information about what is highest-valued is transmitted through those prices at which another individual voluntarily purchases the capitalist's good or service. Profits are an indication that less valuable inputs have been transformed into more valuable outputs. By contrast, the capitalist suffers losses when capital resources are not used efficiently and instead create less valuable outputs.
Free Enterprise or Capitalism?
Capitalism and free enterprise are often seen as synonymous. In truth, they are closely related yet distinct terms with overlapping features. It is possible to have a capitalist economy without complete free enterprise, and possible to have a free market without capitalism. Any economy is capitalist as long as private individuals control the factors of production. However, a capitalist system can still be regulated by government laws, and the profits of capitalist endeavors can still be taxed heavily. "Free enterprise" can roughly be understood to mean economic exchanges free of coercive government influence. Although unlikely, it is possible to conceive of a system where individuals choose to hold all property rights in common. Private property rights still exist in a free enterprise system, although the private property may be voluntarily treated as communal without a government mandate. Many Native American tribes existed with elements of these arrangements, and within a broader capitalist economic family, clubs, co-ops, and joint-stock business firms like partnerships or corporations are all examples of common property institutions. If accumulation, ownership, and profiting from capital is the central principle of capitalism, then freedom from state coercion is the central principle of free enterprise.
Feudalism the Root of Capitalism
Capitalism grew out of European feudalism. Up until the 12th century, less than 5% of the population of Europe lived in towns. Skilled workers lived in the city but received their keep from feudal lords rather than a real wage, and most workers were serfs for landed nobles. However, by the late Middle Ages rising urbanism, with cities as centers of industry and trade, become more and more economically important. The advent of true wages offered by the trades encouraged more people to move into towns where they could get money rather than subsistence in exchange for labor. Families’ extra sons and daughters who needed to be put to work, could find new sources of income in the trade towns. Child labor was as much a part of the town's economic development as serfdom was part of the rural life.
Mercantilism Replaces Feudalism
Mercantilism gradually replaced the feudal economic system in Western Europe and became the primary economic system of commerce during the 16th to 18th centuries. Mercantilism started as trade between towns, but it was not necessarily competitive trade. Initially, each town had vastly different products and services that were slowly homogenized by demand over time. After the homogenization of goods, trade was carried out in broader and broader circles: town to town, county to county, province to province, and, finally, nation to nation. When too many nations were offering similar goods for trade, the trade took on a competitive edge that was sharpened by strong feelings of nationalism in a continent that was constantly embroiled in wars. Colonialism flourished alongside mercantilism, but the nations seeding the world with settlements were not trying to increase trade. Most colonies were set up with an economic system that smacked of feudalism, with their raw goods going back to the motherland and, in the case of the British colonies in North America, being forced to repurchase the finished product with a pseudo-currency that prevented them from trading with other nations. It was Adam Smith who noticed that mercantilism was not a force of development and change, but a regressive system that was creating trade imbalances between nations and keeping them from advancing. His ideas for a free market opened the world to capitalism.
Growth of Industrial Capitalism
Smith's ideas were well-timed, as the Industrial Revolution was starting to cause tremors that would soon shake the Western world. The (often literal) gold mine of colonialism had brought new wealth and new demand for the products of domestic industries, which drove the expansion and mechanization of production. As technology leaped ahead and factories no longer had to be built near waterways or windmills to function, industrialists began building in the cities where there were now thousands of people to supply ready labor. Industrial tycoons were the first people to amass their wealth in their lifetimes, often outstripping both the landed nobles and many of the money lending/banking families. For the first time in history, common people could have hopes of becoming wealthy. The new money crowd built more factories that required more labor, while also producing more goods for people to purchase. During this period, the term "capitalism"—originating from the Latin word "capitalis," which means "head of cattle"—was first used by French socialist Louis Blanc in 1850, to signify a system of exclusive ownership of industrial means of production by private individuals rather than shared ownership. Contrary to popular belief, Karl Marx did not coin the word "capitalism," although he certainly contributed to the rise of its use.
Industrial Capitalism's Effects
Industrial capitalism tended to benefit more levels of society rather than just the aristocratic class. Wages increased, helped greatly by the formation of unions. The standard of living also increased with the glut of affordable products being mass-produced. This growth led to the formation of a middle class and began to lift more and more people from the lower classes to swell its ranks. The economic freedoms of capitalism matured alongside democratic political freedoms, liberal individualism, and the theory of natural rights. This unified maturity is not to say, however, that all capitalist systems are politically free or encourage individual liberty. Economist Milton Friedman, an advocate of capitalism and individual liberty, wrote in Capitalism and Freedom (1962) that "capitalism is a necessary condition for political freedom. It is not a sufficient condition." A dramatic expansion of the financial sector accompanied the rise of industrial capitalism. Banks had previously served as warehouses for valuables, clearinghouses for long-distance trade, or lenders to nobles and governments. Now they came to serve the needs of everyday commerce and the intermediation of credit for large, long-term investment projects. By the 20th century, as stock exchanges became increasingly public and investment vehicles opened up to more individuals, some economists identified a variation on the system: financial capitalism.
Capitalism and Economic Growth
By creating incentives for entrepreneurs to reallocate away resources from unprofitable channels and into areas where consumers value them more highly, capitalism has proven a highly effective vehicle for economic growth. Before the rise of capitalism in the 18th and 19th centuries, rapid economic growth occurred primarily through conquest and extraction of resources from conquered peoples. In general, this was a localized, zero-sum process. Research suggests average global per-capita income was unchanged between the rise of agricultural societies through approximately 1750 when the roots of the first Industrial Revolution took hold. In subsequent centuries, capitalist production processes have greatly enhanced productive capacity. More and better goods became cheaply accessible to wide populations, raising standards of living in previously unthinkable ways. As a result, most political theorists and nearly all economists argue that capitalism is the most efficient and productive system of exchange.
Capitalism vs. Socialism
In terms of political economy, capitalism is often pitted against socialism. The fundamental difference between capitalism and socialism is the ownership and control of the means of production. In a capitalist economy, property and businesses are owned and controlled by individuals. In a socialist economy, the state owns and manages the vital means of production. However, other differences also exist in the form of equity, efficiency, and employment.
Equity
The capitalist economy is unconcerned about equitable arrangements. The argument is that inequality is the driving force that encourages innovation, which then pushes economic development. The primary concern of the socialist model is the redistribution of wealth and resources from the rich to the poor, out of fairness, and to ensure equality in opportunity and equality of outcome. Equality is valued above high achievement, and the collective good is viewed above the opportunity for individuals to advance.
Efficiency
The capitalist argument is that the profit incentive drives corporations to develop innovative new products that are desired by the consumer and have demand in the marketplace. It is argued that the state ownership of the means of production leads to inefficiency because, without the motivation to earn more money, management, workers, and developers are less likely to put forth the extra effort to push new ideas or products.
Employment
In a capitalist economy, the state does not directly employ the workforce. This lack of government-run employment can lead to unemployment during economic recessions and depressions. In a socialist economy, the state is the primary employer. During times of economic hardship, the socialist state can order hiring, so there is full employment. Also, there tends to be a stronger "safety net" in socialist systems for workers who are injured or permanently disabled. Those who can no longer work have fewer options available to help them in capitalist societies.
Mixed System vs. Pure Capitalism
When the government owns some but not all of the means of production, but government interests may legally circumvent, replace, limit, or otherwise regulate private economic interests, that is said to be a mixed economy or mixed economic system. A mixed economy respects property rights, but places limits on them. Property owners are restricted with regards to how they exchange with one another. These restrictions come in many forms, such as minimum wage laws, tariffs, quotas, windfall taxes, license restrictions, prohibited products or contracts, direct public expropriation, anti-trust legislation, legal tender laws, subsidies, and eminent domain. Governments in mixed economies also fully or partly own and operate certain industries, especially those considered public goods, often enforcing legally binding monopolies in those industries to prohibit competition by private entities. In contrast, pure capitalism, also known as laissez-faire capitalism or anarcho-capitalism, (such as professed by Murray N. Rothbard) all industries are left up to private ownership and operation, including public goods, and no central government authority provides regulation or supervision of economic activity in general. The standard spectrum of economic systems places laissez-faire capitalism at one extreme and a complete planned economy—such as communism—at the other. Everything in the middle could be said to be a mixed economy. The mixed economy has elements of both central planning and unplanned private business. By this definition, nearly every country in the world has a mixed economy, but contemporary mixed economies range in their levels of government intervention. The U.S. and the U.K. have a relatively pure type of capitalism with a minimum of federal regulation in financial and labor markets—sometimes known as Anglo-Saxon capitalism—while Canada and the Nordic countries have created a balance between socialism and capitalism. Many European nations practice welfare capitalism, a system that is concerned with the social welfare of the worker, and includes such policies as state pensions, universal healthcare, collective bargaining, and industrial safety codes.
Crony Capitalism
Crony capitalism refers to a capitalist society that is based on the close relationships between business people and the state. Instead of success being determined by a free market and the rule of law, the success of a business is dependent on the favoritism that is shown to it by the government in the form of tax breaks, government grants, and other incentives. In practice, this is the dominant form of capitalism worldwide due to the powerful incentives both faced by governments to extract resources by taxing, regulating, and fostering rent-seeking activity, and those faced by capitalist businesses to increase profits by obtaining subsidies, limiting competition, and erecting barriers to entry. In effect, these forces represent a kind of supply and demand for government intervention in the economy, which arises from the economic system itself. Crony capitalism is widely blamed for a range of social and economic woes. Both socialists and capitalists blame each other for the rise of crony capitalism. Socialists believe that crony capitalism is the inevitable result of pure capitalism. On the other hand, capitalists believe that crony capitalism arises from the need of socialist governments to control the economy. SPONSORED
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