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         Daily Blog - Tiger Software

                                   July 25, 2007

   Cassandra's Curse:
       What If You Could Predict The Future,
       but No One Would Believe You?                                 

William Schmidt,     - Tiger Software's Creator
      (C) 2007 William Schmidt, Ph. D.  - All Rights Reserved. 

      No reproductions of this blog or quoting from it
      without explicit written consent by its author is permitted.

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      to william_schmidt@hotmail.com

                                                                                                                   Check current Oil Prices

Cassandra's Curse
            What If You Could Predict The Future, but No One Would Believe You?

            How Would You Feel?   Use Peerless and You Will Find Out.

             Peerless Has Just Given A Major Sell Signal on The US Stock Market,
             and That Is Usually A Global Sell Signal, too,  but Everywhere I Go,
             Investors Are Naively Oblivious.

             That was the fate of Cassandra of Troy in Homer's Iliad.    Cassandra was a beautiful,
           young woman, blessed with the gift of prophecy by Apollo, who was wildly infatuated with her.
           Unfortunately, she shunned Apollo at the last minute and he added a twist to her gift; Cassandra
           was doomed to tell the truth, but never to be believed. King Priam did not know what to do with her,
           so he tried to keep Cassandra locked up and out of the way of the warriors of Troy. When Troy finally
           fell to the Greek invaders, Cassandra was attacked and supposedly raped by the Greek warrior
           Ajax of Locris, but eventually avenged by Athena. When Cassandra accompanied the Greek hero
           Agamemnon as his mistress to his homeland, she was killed by his vengeful wife, Clytaemnestra.

           Variations of this theme apprear frequently in literature:
>>> the classic Greek play Agamemnon.
                         >>> Cassandra appears in Book V of Geoffrey Chaucer's Troilus and Criseyde
                           as the sister of the protagonist Troilus
                        >>>Eric Shanower in Age of Bronze: Sacrifice. In this version, Cassandra, as a child,
                           is molested by a man pretending to be a god. His warning "No one will believe you!" is
                           one often spoken by abusers to their child victims.
                        >>> Lindsay Clarke's novel The Return from Troy
                        >>> Christa Wolf in Kassandra
                        >>> Cassandra by Scott Savitz
                        >>> Markus Sedgwick's novel, The Foreshadowing

             Sometimes one does know something bad is going to happen and one is powerless to
             prevent it.   I had read the Pentagon Papers about the US war in Viet Nam and I knew in 2002
             and 2003, as clearly as one can ever know anythng, that Bush was making a terrible blunder in
             attacking Iraq.   When the powers-that-be refuse to listen one does get mad, out of extreme
And when one is accused of being arrogant for knowing more than the
             "experts", it adds insult to the injury of frustration.     

               wpe1.jpg (17082 bytes)
               Painting by Evelyn De Morgan.

                          Peerless gave a letter-perfect major Sell signal last week as the DJI  reached its high peak
                at 1400, as the SP-500 reached its peak at 1550 and as the NASDAQ reached its peak at 2712.  
                Now a week later the DJI at this writing is 13400, the SP-500 is 1470 and the NASDAQ stands
                at 2570.  The markets are down nearly 5%.  The chart paterns show today's action completed a
                head and shoulders pattern, which sets the stage for a further decline.  As the DJI has not had
                a 10% correction or more since March 2003, we have now gone a record 50 months without
                any significant profit-taking.  Adding to that is the fact many of the overseas markets are up 300%
                to 450% since early 2003, and you can see there is extreme vulnerability now.

                         Last week when, based on our major Sell signals,  I told people to Sell, to raise cash, to
                take some profits, every one of the 'newbies' dismissed my warnings.  They said that history does
                not repeat and that, anyway,  they are long-term investors.  They said, if you're so smart, why
                aren't you rich?  They said why would you tell anyone?  Just trade on the secrets of market timing
                yourself.   And in some cases, they looked at me, as though I was arrogant and mad!  So,
                the curse of Cassandra is very real, especially to me.  

                         Here is the current Peerless chart.  Call us at 858-273-5900.  Order the software here
                or the nightly market comments.  Note the price of the nightly hotline is being raised to $298
                for a year, on August 1st.  Options traders should go to this link to see how to profit big time
                from declines like this.
                                                                                                                                                      Major Sell
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                        Compare this with the chart from 1989 or 1987.  The bases for these signals were spelled out in
                a book I wrote in 1981, based on close inspection of market tops in 1970 to 1981.   History
                is not bunk.  It is our best guide!

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                        We don't know why insiders are selling.  That is often the case.  But these insiders know
                   somethng.bad is coming down the pike. Will there be a war with Iran?   Is that why the market is going
                   down.  Here is what I wrote two days ago. 
                                                                   War with  Iran?

                          An attack on Iran is by, no means, unlikely.  Pentagon war planning has started.   Administration
               planning seeks to a regime change in Iran by covert means.  Seymour Hersch wrote in 2005 in the New
                         "In my interviews [with former high-level intelligence officials], I was repeatedly told that the
                          next strategic target was Iran. Everyone is saying, "You can't be serious about targeting Iran.
                          Look at Iraq," the former [CIA] intelligence official told me. But the [Bush administration officials]
                          say, "We've got some lessons learned , not militarily, but how we did it politically. We're not
                          going to rely on agency pissants? No loose ends, and that?s why the C.I.A. is out of there."

                An article in The American Conservative by intelligence analyst Philip Giraldi should be read.
                "In Case of Emergency, Nuke Iran," suggested the resurrection of active U.S. military planning against
                 Iran" but with the shocking disclosure that in the event of another 9/11-type terrorist attack on U.S. soil,
                Vice President Dick Cheney?s office wants the Pentagon to be prepared to launch a potential tactical
                 nuclear attack on Iran ? even if the Iranian government was not involved with any such terrorist attack
                against the U.S.: (Source: http://www.energybulletin.net/7707.html )

wpe1.jpg (2481 bytes)  wpe2.jpg (3127 bytes)      Cheney pushes Bush to act on Iran    wpe3.jpg (12587 bytes)

Military solution back in favour as Rice loses out
                        President not prepared to leave conflict unresolved."   

                                       Ewen MacAskill in Washington and Julian Borger
                                              Guardian (UK)  Monday July 16, 2007

"The balance in the internal White House debate over Iran has shifted back in favour of military
                 action before President George Bush leaves office in 18 months, the Guardian has learned.

                The shift follows an internal review involving the White House, the Pentagon and the state department
                over the last month. Although the Bush administration is in deep trouble over Iraq, it remains focused
                on Iran. A well-placed source in Washington said: "Bush is not going to leave office with Iran still in limbo...
Almost half of the US's 277 warships are stationed close to Iran, including two aircraft carrier groups.
                 The aircraft carrier USS Enterprise left Virginia last week for the Gulf. A Pentagon spokesman said
                  it was to replace the USS Nimitz and there would be no overlap that would mean three carriers in
                 Gulf at the same time."


                                                      Crude Oil: 2002-2007
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                        The current yearly chart of crude oil (using the perpetual contract data from Dial Data) shows
             an inverted head and shoulders pattern.  The height of the pattern before prices broke past
             the pattern's neckline in June was 15 points, measuring from the January low at 51 straight up
             to the neckline there mat 66.  Prices broke out above the neckline at 70; so, if we add 15 to 70
             we get $85.   This is the classic way technicans set minimum price objectives.  See Edwards and Magee,
             Technical Analysis of Stock Trends.

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                       Probably, the price target is better set conservatively at 83-85.  Either way, crude oil
             should rise, at a minimum another 10% in the months ahead.  The surpassing $80 will probably
             spook the stock market.  So we should be careful. As crude oil goes up, inflationary numbers
             start giving the Fed more ammunition to raise interest rates.  In truth,  the Fed is less concerned about
             inflation, per se, and more concerned with what level of interest rates it must set to get foreigners
             to buy bonds denominated in sagging US dollars.  Friday the Euro and the British Pound made 5 year highs
             versus the dollar.  The Japanese yen moved back above its key 50-day mvg, avg, 

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