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2014/06/13

Iraq Part III

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Iraq Part III

Well, here we go again. The bad guys in Iraq, al-Qaeda, have birthed another wing to its growing radicalism in the Middle East: the Islamic State of Iraq and Syria, or ISIS. ISIS has been around for several years now and has been part of the "rebels" that have tried to overthrow the leader of Syria - Bashar al-Assad. They would be the very same "rebels" that president Obama has been funding, because he doesn't like Assad.

Apparently it was just fine until ISIS got too close to Iraq's oil, which just happened. Because of this, oil prices spiked and equity markets tumbled.

Of the Syrian rebel (ISIS) arming by president Obama, PBS said the following

... the Syrian rebels themselves say they are already armed and trained by US in the use of sophisticated weapons and fighting techniques, including, one rebel said, "how to finish off soldiers still alive after an ambush." The interviews are the latest evidence that after more than three years of warfare, the United States has stepped up the provision of lethal aid to the rebels, as PBS notes "it appears the Obama administration is allowing select groups of rebels to receive US-made anti-tank missiles."

The commander of the unit also told Ali that their American contacts had asked him to bring 80 to 90 members of his unit to Ankara for training.

One of the fighters said they received three weeks of training in how to conduct ambushes, conduct raids and use their weapons. They also said they received new uniforms and boots.

"They trained us to ambush regime or enemy vehicles and cut off the road," said the fighter, who is identified only as "Hussein." "They also trained us on how to attack a vehicle, raid it, retrieve information or weapons and munitions, and how to finish off soldiers still alive after an ambush."

Wait! JUST WAIT ONE SECOND! President Obama is funding rebels like Reagan? President Obama wants to now bomb Iraq like Bush? It can't be; president Obama walks on water and couldn't possibly be a knuckle-dragging Neanderthal-like right winger. After all, he has a...get this...Nobel Peace prize. And with that meaningless Nobel Peace prize, the Teleprompter in charge will fund the enemy - then fight the enemy. Does that balance it out.

Here are a few headlines that crossed the wires today...

• OBAMA SAYS "I DON'T RULE OUT ANYTHING" WHEN IT COMES TO HELPING IRAQ DEAL WITH INSURGENTS

• OBAMA SAYS US HAS AN INTEREST IN MAKING SURE JIHADISTS DON'T GAIN A FOOTHOLD IN IRAQ

• OBAMA SAYS THERE WILL BE SHORT-TERM IMMEDIATE ACTIONS THAT NEED TO BE DONE MILITARILY IN IRAQ, US OFFICIALS LOOKING AT ALL OPTION

• OBAMA SAYS IRAQ `CLEARLY IS AN EMERGENCY SITUATION'

• OBAMA ADMINISTRATION SAID NOT CONSIDERING GROUND TROOPS IN IRAQ

• OBAMA SAYS US IS PREPARED TO TAKE MILITARY ACTION WHEN ITS NATIONAL SECURITY INTERESTS ARE THREATENED

What national security interest would that be? Would that be oil? If not, what has Iraq done to us? I wonder what Susan Sarandon would say about now?

Before our kids start coming home from Iraq in body bags and women and children start dying in Baghdad, I need to know, what did Iraq do to us?- Susan Sarandon Well said Susan. Oh wait, that was when the previous president was in the White House. I'm sure she would be OK with it now because, after all, her team is in the White House.

Here's a few more quotes that I thought was interesting in light of this news.

Four years ago, I promised to end the war in Iraq. We did. I promised to refocus on the terrorists who actually attacked us on 9/11. We have. We've blunted the Taliban's momentum in Afghanistan, and in 2014, our longest war will be over. A new tower rises above the New York skyline, al Qaeda is on the path to defeat, and Osama bin Laden is dead. - Barack Obama About the only thing true is that bin Laden is dead.

I thought then, and I think now, that the invasion of Iraq was unnecessary and unjust. And I think the premises on which it was launched were false. - Jimmy Carter What is today's premise?

I am not opposed to all wars, just dumb wars. - Barack Obama Tell us what is the definition of a dumb war? Is it a smart war just when you're in the White House and the economy needs a boost of war spending because your socialist agenda is failing miserably?

Has Susan Sarandon told us what Iraq did to us this week that our national security is at risk yet? No? OK, I'll keep waiting. It couldn't possibly be oil though, because "No war for oil" and all that - remember?

OK, since I'm on the quotes today, let's end this with a wise one.

Maybe we ought to consider a Golden Rule in foreign policy: Don't do to other nations what we don't want happening to us. We endlessly bomb these countries and then we wonder why they get upset with us?

That sounds like something the "great orator" may have said when he was Senator Obama. Alas, the teleprompter was not to give forth these words and therefore it was not to be.

The last quote was from Congressman, Dr. Ron Paul.

Get ready for higher oil prices and equity volatility.

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The markets swung lower again yesterday, but this time there was more conviction behind the move. The conviction was showcased by the spike in trading volume, as all 3 major averages was facing pressure from sellers. Buyers were squeezed and pushed from their positions, as well as stops getting hit adding more momentum to the downside. Look for another squeeze today, but an eventual rebound as sellers may look to cash in some profit. I would keep an eye on the 1925 level in the SPX. This level could provide some support in the short term

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TECHNICAL DATA
ES 1930.50/1920.00
POC 19422.00
YM 16726/16656
NQ 3778.25/3751.75
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Today, a lesson in risk and portfolio management. Let's look at FireEye (FEYE). FireEye invented a purpose-built, virtual machine-based security platform that provides real-time protection to enterprises and governments worldwide against the next generation of cyber attacks. Its technology approach represents a paradigm shift from how information technology security has been conducted since the earliest days of the information technology industry. Look at what has happened in the marketplace lately. Huge credit cards hacks at Target, Sally Beauty, Neiman Marcus and now today, P.F. Chang. From a fundamental basis, we love the stock and we love the sector.

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