A positive day with the Dow Jones up 320 points (+1.31%) and the Nasdaq up 68 points (+0.88%) 

The stock market continues to follow our short-term and long-term forecasts.

That is, we expect the stock market to continue on with its bounce into our XXX TIME turning point. If you would like to read the rest of this forecast, based on our timing and mathematical work, please Click Here

So, is this the final blow off top everyone has been talking about? Well, it depends which index you are looking at, but one investor certainly thinks so.

‘This rally in stocks is a last hurrah!’ warns Guggenheim’s Minerd

However, Minerd, chief investment officer for Guggenheim and one of the world’s pre-eminent bond-fund managers, advised more than a dollop of caution should be employed by investors, who risk whistling through the proverbial graveyard. Via Twitter, the investment manager said: “Markets are crazy to ignore the risks and consequences of a #tradewar. This rally in #stocks is the last hurrah! Investors should sell now, speculators may do better in August”

Let me put it this way. Over the weekend I raged about foolish investors (to put it mildly) buying small cap stocks at 100+ times earnings. Shiller’s Adjusted S&P P/E ratio is rather clear in that regard as well. 

That is to say, the stock market is arguably selling at the highest valuation level in history. At the the very least, historically speaking, investors shouldn’t expect a return for decades to come.

Yet, we have to take something of significant importance into consideration here. The FED continues to hike, the yield curve is near inversion, Trump’s trade war just started and bullish animal spirits are running high.

Translation, the stock market finds itself in an explosive situation. And we would have to agree Mr. Minerd here. The explosion won’t be in the direction most investors believe. Luckily, our timing and mathematical work clearly shows what happens next. If you would like to find out, please Click Here

Want to find out how “Nuts” Trump’s trade war really is. Listen up……

A positive week with the Dow Jones up 194 points (+0.79%) and the Nasdaq up 178 points (+2.37%)

It appears, at least for the time being, that this market is literally bulletproof. The yield curve is near inversion, the FED is hawkish, Mr. Trumps just officially kicked off a Global Trade War and what does the the Nasdaq do, it proceeds to gain 2%.

What’s going on?

Well, you can argue that the stock market is climbing some sort of a skyscraper of worry, but I have a much simpler explanation. Thus far, the stock market continues to behave exactly as our forecast had projected.

To very quickly summarize, we expected a bottom to occur on our June 27^th (+/- 1 trading day) TIME turning point. A short-term point of force was identified to arrive within the first 60 minutes of trading on June 28^th. The actual bottom arrived at 9:45 am EST, satisfying all of our long-term and short-term calculations in the process.

What happens next is rather interesting. If you would like to find out what the stock market will do next, in both price and time, please Click Here.

No doubt, things are not as they might appear to be in the stock market at the present moment. The same thing can be said about our lives in the US in general. Let’s go into the weekend with a few tears, laughs and perhaps a good bottle of whiskey.

Warning: The video below is from a “foreign agent entity” registered with the US Government. 

7/5/2018 – A positive day with the Dow Jones up 182 points (+0.75%) and the Nasdaq up 83 points (+1.12%) 

The stock market continues to perform, more or less, as anticipated.

Once again, we expect the stock market to……If you would like to find out what the stock market will do next, in both price and time, please Click Here 

While President Trump did not talk about the stock market, he might as well have. I nearly fell off my chair when I saw the following headlines.

• Trump Demands OPEN Lowers Oil Prices 
• Trump to Saudi: Lower oil prices or we will not ‘defend’ you

“The OPEC Monopoly must remember that gas prices are up & they are doing little to help,” Trump wrote on his personal Twitter account. “If anything, they are driving prices higher as the United States defends many of their members for very little $’s.”

“This must be a two way street,” he wrote, adding in block capitals, “Reduce pricing now!”

Maybe Iran is indeed right in saying that Trump should stop Tweeting about all of this.

This proves my point, once again, that Mr. Trump has no idea of what he is doing when it comes to trade and financial market. You cannot dictate what you would like to happen and you certainly cannot control it to a large degree. And you certainly shouldn’t take credit for markets when they move in your favor. We suspect Mr. Trump will very soon learn a valuable lesson in that regard.

Let me put it another way. The above is equivalent to President Trump demanding the Dow at 40,000 by year end. Senseless. Finally, just wait until his trade war with nearly everyone spikes prices across the board while wages stagnate.

Sometimes a picture is worth a thousand words, as is the case here. 

Anyway, if you would like to find out what the stock market will do next, and trust me you ought to know, please Click Here

7/3/2018 – A negative day with the Dow Jones down 132 points (-0.54%) and the Nasdaq down 65 points (-0.86%)

During the day the market attempted to rally, but despite oversold conditions the follow through just wasn’t there. Still, the market remains within confines of our exact forecast. If you would like to find out what the stock market will do next, in both price and time, please Click Here

We often talk about investor sentiment and how oversold/overbought the market is. And while no indicator is perfect, perhaps nothing tracks actual investor bullish/bearish sentiment better than the actual money, on the margin.

BLINKING RED BUBBLE LIGHT: Stock Market Investor Margin Debt Reaches New High

The world is standing at the edge of the financial abyss while most investors are entirely in the dark.  However, specific indicators suggest the market is one giant RED BLINKING LIGHT.  One of these indicators is the amount of margin debt held by investors.  What is quite surprising about the level of investor margin debt is that it has hit a new record high even though the market has sold off 2,500 points from its peak in February.

It seems as if investors no longer believe in market cycles or fundamentals. Instead, the Wall Street saying that “This time is different” has become permanently ingrained in the market psychology.  For example, it doesn’t seem to matter to the market that Amazon makes no money on its massive online retail business.  The only segment of Amazon’s business that made a decent profit last quarter was from its Cloud hosting services.

We have touched on this subject matter a few days ago. Some Scary Charts To Keep You Up At Night Over The Weekend. At that time we looked at this chart.

It is truly mind boggling to see how long and leveraged everyone is. When the market finally cracks, as it surely will, all of the red on the right hand side will act as jet fuel to the downside.

Luckily, our mathematical and timing work is clear in identifying exactly when that will happen. If you would like to find out what the stock market will do next, in both price and time, please Click Here