Stolpered Out

Tyler Durden's picture

Four months after we made our call to short the living daylights out of Cable following the announcement that Goldman's Mark Carney is coming and is getting ready to crucify the BOE's balance sheet....

....we were confused: +1400 pips in our favor (as the GBPUSD tumbled from 1.6250 to 1.4850), it appeared the profit bonanza would never end, yet we didn't want to get too greedy. And then came none other than the most invaluable analyst on Wall Street, Goldman's Tom Stolper, who made our decision for us.

Last Monday, the man who bats between 0.000 and 0.050, boldly went where he had been so many times before, and said to go long EURGBP on "monetary policy and current account differentials" with a stop loss of 85.70. Naturally, we read between the lines.

To wit: "the logical Stolper-contrarians in us say this is precisely the time to fade the relentless move higher in the EURGBP: history is on our side about 93% of the time. After all, Goldman's prop flow desk is now selling the pair to its clients. This is even as we said to short the GBP with both hands and feet in late November when Carney's appointment was announced: a move that has resulted in nearly a +1400 pip gain in the GBPUSD short. Oh well, time to take profits."

Sure enough, as of this posting, EURGBP is now 85.38, well below the designated stop loss, and over 200 pips in favor of those who, as usual, faded perhaps the worst FX "strategist" of all time. Which, incidentally, is why Stolper may well be the most valuable of his breed on Wall Street: rarely has there been man whose calls have made so much money for so many.

Once again: thank you Goldman for doing all you can to crucify what little paying muppets are left, and for facilitating a quick and painless pick of 1,600 pips in four months.

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OptionNinjaNYC's picture

Jamie Dimon on Cyprus: Cyprus is just a tempest in a teapot.

Merkel: How can you be so sure?

Jamie Dimon: I'm richer than you Bitch.

TwoShortPlanks's picture

Anything goes in the new Fictional Reserve Banking System.

This has been another announcement from the team at Agenda21: Say, that's a nice shirt you're wearing!

LawsofPhysics's picture

It is even simpler than that.  When fraud is the status quo, possession is the fucking law.  I expect those with the ability to do so, to continue taking possession of a number of things. Power and control folks, this is and has always been about power and control over resources, that includes the human kind.  Same as it ever was.

James_Cole's picture

At some point GS is going to have to develop a new business strategy in regards to stealing from their clients. The internet has a long memory..

LawsofPhysics's picture

Indeed.  Anyone remember when bankers acually had to work for a living by loaning out money from savers and actually giving the saver the interest?   I don't call adding zeros with a mouse click "working", talk about not having skin in the game.

Downtoolong's picture

Like that silly London Minnow.

Just keep sweeping the victims under the rug and carry on, right Jamie?



h0oS's picture

As long as he's squiting shitty pips on the muppets I'll keep using him as a reverse barometer. The damn dirty ape.

Fishthatlived's picture

"....damn dirty ape"


Ha!  Charlton Heston lives!

Downtoolong's picture

Dammit, I've tried to tell you guys a thousand times it's not my job to be right; my job is to sell and be convincing.


JustObserving's picture

The 5.8 billion euro levy on depositors in Cyprus is enough to buy 30% of the world's silver bullion.  Yet silver is up only 11 cents now.  Miracles never cease. 


kliguy38's picture

They can easily hold the headline spot price in check for a few days but they are going to take a monster hit on the actual bullion loss to the East which makes this a VERY dicey play for them. Can they sustain a real bullion run AND keep the spot price painted????? Stay tuned..

Rari Nantes In Gurgite Vasto's picture

if the issue is confiscation of money from your bank deposit, why the same issue should not apply to precious metals?

is silver or gold any safer than cash once is deposited with a bank in a "western" jurisdiction?

Sure take it to the east of this world and let me know how it goes when Russia, Singapore or HK decide to follow suit.

Alternatively buy physical and store it yourself at home, and good luck with that too.


JustObserving's picture

why the same issue should not apply to precious metals?

You think that the Western world is the only place that can afford silver?  China and India have plenty of money to buy all the gold and silver in the world many times over.  Real estate in China is worth over $200 trillion and in India worth over $40 trillion.  China buys 20% more cars than USA now.  All of the rest of Asia, Russia and Turkey and all Arab countries also want gold and silver.  If the West wants to sell it at a discount to protect their fiat currencies in the face of $13 trillion of printing since the 2008 crisis, so be it. Fraudulent manipulation always ends badly and silver and gold are severely manipulated by the West. You cannot manipulate prices forever - reality always reasserts itself sooner or later.  

LawsofPhysics's picture

"Real estate in China is worth over $200 trillion and in India worth over $40 trillion." - Yes, yes, it will never go down in price.  Wait what...?  Where have I heard that line before?

mt paul's picture

fired up the D8 cat today

pushed the pile back some...

prepping for bullion delivery

in the morning ...

Monedas's picture

Cyprus would be a great place if they just bulldozed all the Muslims into the sea !  This was a trial balloon post by:      Monedas   1929     Comedy Jihad World Tour

zorba THE GREEK's picture

If by Muslims you mean Turks, Zorba gives you a trial +1

zorba THE GREEK's picture

Soon you will be able to short just about anything and make money.

ozzz169's picture

Someone stupid enough to listen to a GS analyst and has not learned by now deserves to be a donate a few dollars to everyone else. If they have not learned by now, it is just mercy to take a little chunk of their savings.

Dr. Engali's picture

But..but....nobody could have seen this one coming.....idiots.

fonzannoon's picture

Bernanke and his liquidity fueled QE bazooka should acheive hero status this week as we now see the dark side of a country that lacks a central bank that can put out every fire with more gasoline.

buzzsaw99's picture

Stolper should just prop trade against Citi FX and give the muppets a rest from the relentless a$$ fucking.

Bingfa's picture

I guess Jim Willie was right all along.....

Willie states that a global financial collapse is now at our doorstep, and that the endgame will be triggered by a small-medium sized bank failure in Europe

This week will be a hoot....

LawsofPhysics's picture

Yes, several bank failures coming (resulting in even more centralization - oh buy!)  I repeat, now that fraud is the status quo, possession is the law and nothing will change until heads roll.  Same as it ever was.

Bingfa's picture

Yes, My neighbor just called me and said he was going to the coin shop tomorrow and buying every Silver coin they have..

At first I started laughing but then I realized he was serious....

Downtoolong's picture

I guess you can't blame everything on a Rogue Trader. Which will be the straw that goes down in history as The Bank That Caused It All To Happen?

Bingfa's picture

Anyone's guess, but I would bet the contagion would be difficult to contain...

Chippewa Partners's picture

Greg Smith must be laughing!!!!!!!!!!