Where is our Money Used?

Updated: 07/01/2005 00:33
Reprints/Permissions  Hyip Monitor
We have already given the answer to the question: "where is the money used?" The answer was: "How are the means of getting such high profit used?" Though it was a short review that didn't give explanation of what are processes inside a program particularly.


Now we'd like to try investigating the question in a more detailed way, so that every newbie could see clearly, what's going on "behind the scenes" of a program. And it often happens that experienced gambler, who achieved great success in the investment sphere can't even imagine the life of a trader, managing your funds.

We warn you – we are not going deep into the naked and dull theory; so, don't be afraid there's another lecture on your desktop. If it's interesting for you, we are going to tell you about other investment spheres in details, now – it's just the power system.
Why it's all about power system? First of all, now there's much more information about valuable metals than power system. Very few programs announce to public what investment markets are in use.

And if the do – they call it "valuable metals' market" or "FOREX", of course we are going to tell of them, but for you to make the article interesting, we'll start with the unknown things. Second – now investors start talking about oil market as the problematic one, so this information is to the point.

So, all the admins, working honestly on the power systems market, make fuel and natural gas purchase and sale contracts on NYMEX. If the official information says that they trade oil and other energy carriers, the HYIP admins works there.

Besides, there are certain restrictions or demands on conclusion of contracts, which links the admins with the necessity to "borrow" or receive the money to manage from investors. Well, it happens in case they don't have their own money. How many energy carriers should be purchased in accordance with the terms of the market?

So, crude West-Texas oil is traded with the 1000 barrel' lots, gasoline and black oil (stove oil) – 42000 gallons, gas – 10000 MMBTU (Million British Thermal Units). The work of this market last all the year long, that's why any information, saying: "no...it's not a season for that" – is absolute lies.

Power contracts as such started to be signed not so long ago, and appeared in the 80s of the previous century. As you know human beings is able to top master anything that may bring money, and particularly in the 80s it was clear that it's possible to make money on oil.

How? Very easy, remember, what do we earn money on? Exactly – the fluctuations. So, in November 1985 the oil price fell to the ground from 32$ to 9.75$. And it fell down within less than half of a year! And in summer 1990, the price of the oil spot-contract rose from the mark 15$/barrel to 40$ within several weeks and then fell down to 17.50$! It was opening for the beginning of trades.

So high price bounces took less than 8 month. After that the Backwardation appeared on the oil market and since then it hasn't practically ceased. Natural gas showed its "obstinacy" twice, and both these events – part of the up-to-date history, when too many investors suffered all over the world. Though, of course some people all around the world managed to make big money making fast deals, realizing that natural gas market is also a rather interesting sphere to apply finances.

To my mind the most important question for HYIP investors, working on the oil market and existing on the risk endpoint, is most probably the risk-zone. Cause everyone knows, even if HYIP is not a scam, market collapse won't make it possible for it to survive, so much the more to get the money back.

What should we be afraid of, if our money works there? First of all it's about factors that can make power markets unsteady, it's clear. Among such we can mention military operations in the Persian Gulf. It's clear, cause the largest oil and gas resources are located in this very region.

By the way, that's the reason why you should pay attention to the messages, containing information of what is going on in other regions as well. Though, being investor, not dealing with direct money depositing, you don't have to pay rapt attention to this. Besides, it's not about some smooth fluctuations; it's about REAL problems, appearing in this or that region.

The problems that may cause the market to collapse. For other cases (less serious ones), trader should accumulate funds enough for "saving" the situation. Besides, the correct strategy of the HYIP admin must imply risk fluctuations in a certain spectrum, that is – exclude possibility of the total collapse.

The second important factor that may influence power market is OPEC announcements/actions. Among the planned upheaval we can mention official API numbers, issued and visible in the news lines and trade calendar.

If you are a person, not dealing with direct purchase and sale, maybe it would be amazing to hear that… weather affects greatly the black oil and natural gas markets. That's why particularly when we talk about the questions you should ask HYIP admins about, you should pay enough attention to the questions of money usage.

Now we are sure, our dear subscribers, you know much more. And, talking to a program, which as if makes your money on the power system market you will feel as equals and won't let to deceive you. Be watchful, good luck.


About the author

Nicole Berger has over seven years experience writing and editing for online and print media. She has held various editor and associate editor positions in some of forefront independent media publications. A consistently dependable team player, I thrive in a high-pressure environment, enjoy the challenges of meeting deadlines and managing a team, and am comfortable researching, writing and editing on a wide range of topics.
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